Mozambique’s banking sector expands 8 pct on investments and economic growth

22 February 2006

Maputo, Mozambique, 22 Feb – The Mozambican banking sector expanded by 8 percent in 2004 due to large investment projects in the country and the macroeconomic climate. The Standard Bank was the most profitable in that year, according to a report by KPMG Mozambique, to which Macauhub has access Wednesday.

According to information from KPMG, the sector’s total income in 2004 was 1.3 billion euros, against 1.18 billion in the previous year, when it expanded by 13 percent year on year.

The KPMG report said that, “the beginning of gas production at Temane, a rise in production capacity of aluminum after the launch of phase II of Mozal, and the greater dynamism of the transport and communication sectors with new operators entering the market.”

Sector profits increased 10.75 percent to 18.4 million euros, and operating profit increased by over 3 percent.

South Africa’s Standard Bank was the most profitable in the market followed by the African Banking Corporation and União Comercial de Bancos. (macauhub)