FDH upbeat amid volatile economy
By Mike Mataka:
Malawi Stock Exchange-listed FDH Bank has expressed optimism for continued business growth amid challenges facing the operating environment.
This was said in Blantyre on Friday when the bank hosted its shareholders to an investment forum to update them on its 2022 performance and give prospects for 2023 and beyond.
Among other things, the bank reported an after-tax-profit of K22.9 billion for the year ended December 31 2022.
Its total assets grew by 42 percent to K434.5bn from K305.9 billion in 2021 and customer deposits grew by 69 percent to K328.1 billion from K193.6 billion in 2021.
The bank also reported that its share price grew from K10 per share, at the time it made the initial public offer in 2020, to close to K40 now.
Speaking at the forum, FDH Bank Board Chairperson Charity Mseka said the bank remained resilient amid challenges facing the economy.
She said the business outlook remains positive as the financial institution continues investing heavily in sustainability and growth.
“I would like to assure you, our investors and shareholders, of our continued passion and commitment to driving the business and supporting the economy with a special focus on supporting Malawi 2063, thereby creating shared value for investors, shareholders and other stakeholders,” she said.
FDH Bank has since unveiled plans to introduce an Islamic banking section as part of its growth strategy, among other things.
FDH Bank Managing Director Noel Mkulichi said on the sidelines that strides have been made towards setting up the Islamic banking window within the bank.
“It rolls out within this year. We have already developed the concepts and gone to the central bank to introduce the product.
“There is a certain niche within the economy that would like to go into that and we would like to capture them. No interest would be charged on any product but, instead, there will be some sharing arrangement on the profits that will arise from there,” Mkulichi said.