Notwithstanding a continued deterioration of the economic situation, Stanbic Bank Zimbabwe remained financially solid and profitable due to the implementation of effective risk management strategies. It deployed rigorous cash flow management and this has helped to avoid a mandatory take up of punitive borrowings from the Reserve Bank of Zimbabwe when short market liquidity positions were anticipated. The bank’s exposure to government has also been successfully managed. This has allowed Stanbic to grow the corporate loan book with higher yields and short tenor.
Proactively reviewing procedures and processes to tighten controls against operational losses was another feature of the bank’s strategy. There was also an effective appraisal of the operating environment, which involved consultative discussions with independent professionals and analysts. Lending was extended on a highly selective basis and new loans were restricted to low risk clients. There was close monitoring of counterparties to enable early detection of distress signals and implementation of corrective action. The group adopted a zero tolerance policy against non-compliance with bank standards and Zimbabwean regulatory requirements.
Stanbic is the only bank in Zimbabwe with a local debit card that is inter-operable on the Visa and ZimSwitch networks. This enables Stanbic Bank customers to access a wider network of ATMs and PoSs. The bank introduced a customer care centre that is dedicated to resolving corporate client enquiries within 24 hours.
“We are greatly honoured to win the Bank of the Year award, for a sterling performance achieved in a difficult operating environment,” says chief executive Pindie Nyadoro. “This award bears testimony to our team’s high motivation, dedication to duty and endeavour to implement international best practice at all times.
“Notwithstanding the prevailing economic challenges, our team has remained steadfast in upholding high levels of integrity and observing good corporate governance procedures. At Stanbic, we remain committed to making a real difference to financial services in Zimbabwe, because our vision and values extend beyond the current and transitory economic difficulties.”
