Agribank to disburse more IDCSA funds

the IDCSA were now in the “finalisation stages”.
“The process is almost complete and disbursements of the second tranche should be commencing early in the fourth quarter, we anticipate by the beginning of October,” he said.
Last year Agribank received US$30 million from  IDCSA to support companies in the productive sectors, and the bank had initially targeted to disburse the second tranche during the second quarter of this year.
According to Mr Mverecha, funds under the second tranche will largely benefit the agricultural and manufacturing sectors.
Meanwhile, Agribank suffered a US$2,4 million loss for the six-month period to June 30 2012, which management attributed to heavy expenditure (around US$2,5 million) in upgrading its information communication technology systems as well as expanding its branch connectivity.
Total revenue for the half year to June 30 increased to US$9,2 million from US$7,8 million recorded in the comparable period last year.
The bank’s operating income increased by 18 percent during the period under review.
“The major expenses of the bank were mainly in respect of the recent ICT upgrade and related expenses; and operating costs associated with running a large branch network,” reported management.
Agribank’s total assets grew by 7 percent to US$110,2 million while deposits increased by 13 percent to US$78,2 million.
Earlier this month, the Government injected further capital to the tune of US$1 million, and management has said it is confident with its strategies to comply with the Reserve Bank of Zimbabwe’s new minimum capital requirements.
Agribank management has also said the process of privatising the bank is in motion and they are seeking “suitable strategic partners”.