HARARE Aug 7 Zimbabwe's largest banking group
CBZ Holdings on Thursday reported a 27 percent fall in
earnings in the half-year to June after reducing the value of
some assets and due to a one-off expense to upgrade its
CBZ said basic earnings per share amounted to 4.13 cents,
down from 5.64 cents in the previous six-month period, while
profit declined 20 percent to $12.8 million.
Non-performing loans grew to $67 million, compared to $45
million in December, but finance director Collin Chimutsa said
at an analyst briefing that the advances were secured.
Zimbabwe's banks are struggling with higher non-performing
loans, which averaged 17 percent during the first five months of
the year, prompting the central bank to consider establishing a
body to take over bad debts.
Chimutsa said CBZ non-performing loans averaged 6 percent
during the first half of the year and did not see them growing
to more than 8 percent of total advances by the end of the year.
Finance minister Patrick Chinamasa said last month up to
five banks were "ill" but not contagious.
(Reporting by MacDonald Dzirutwe; Editing by Joe Brock)