Talkmore Gandiwa
HARARE (FinX) – FBC Holdings has invested US$10 million in upgrading its information technology infrastructure as the financial services group accelerates its digital transformation strategy aimed at enhancing customer experience, improving operational efficiency and driving long-term growth.
The investment replaces legacy systems with automated, cloud-enabled platforms that are expected to improve operational efficiency, speed up lending decisions, reduce operating costs and enable the rollout of more personalised digital banking services without increasing physical infrastructure.
Speaking during the Group’s 22nd Annual General Meeting held yesterday, FBC Holdings Chief Executive Officer Trynos Kufazvinei said the investment marks a major milestone in the bank’s digital transformation journey.
“We have invested almost just under US$10 million in upgrading our IT systems, and we are happy that our customers and clients will soon begin benefiting from this investment,” said Kufazvinei.
The chief executive said the Group has delivered a strong financial performance during the first five months of the year, underpinned by improved earnings quality and stronger operational performance.
“Our performance compared to previous periods has improved quite significantly. While we cannot disclose the figures at this stage, the quality of our income has also improved, and our year-to-date performance remains strong. Like any business, however, there is always room for improvement,” he said.
The bank revealed that following the improved stability brought by the introduction of the Zimbabwe Gold (ZiG) currency, its strategic focus has shifted from protecting value through hedging to optimising its balance sheet and supporting business growth.
“We are now focusing on balance sheet optimisation. Previously, we concentrated on hedging, but our emphasis has shifted towards disposing of some investments so that we can support our customers while strengthening the liquidity position of the Group,” said Kufazvinei.
The Group also reported positive progress following the successful merger of FBC Bank and FBC Building Society, describing the integration as a key milestone that has strengthened its operations.
Kufazvinei said, “We are pleased that the merger has been successfully concluded. FBC Properties has also started on a positive note, recording profits while revenue generation has remained very strong.”
Management said the recent decision by the Reserve Bank of Zimbabwe to reduce the bank policy rate from 35% to 30% is expected to support revenue growth while creating more favourable borrowing conditions for customers.
“The Group has noted the reduction in the bank policy rate from 35% to 30%, and we intend to ensure that our customers also benefit from this development,” he said.
Looking ahead, the Group said it intends to capitalise on opportunities emerging from the Victoria Falls International Financial Centre (VFIFC), which seeks to position Zimbabwe as a regional investment hub by attracting foreign direct investment, facilitating offshore financial services and mobilising capital for infrastructure development.
“As a Group, we want to ensure that we take advantage of the opportunities presented by the Victoria Falls International Financial Centre from this year going forward,” he said.
The bank also revealed that it is exploring opportunities arising from the development of virtual assets listed on the foreign currency exchange as part of efforts to diversify its revenue streams and remain competitive.
“There are also developments around virtual assets, and as a Group we are exploring these opportunities so that we continue taking advantage of the changes taking place in the financial services sector,” said Kufazvinei. “As a Group, we are proactively adapting to market trends and aligning our business model to seize opportunities presented by the evolving operating environment.”
Meanwhile, FBC said it continues to engage the Zimbabwe Revenue Authority (ZIMRA) to resolve a tax dispute relating to the deductibility of historical lines of credit. The revenue authority previously ruled that lines of credit secured by the bank over the years did not qualify as tax-deductible expenses.
“We are pleased to report that we have been engaged in constructive discussions with ZIMRA, and those discussions are ongoing. We are making progress, with both payments and certain adjustments expected as the process continues,” he said.
The group also reaffirmed its commitment to delivering shareholder value after paying dividends totalling US$3.95 million and ZiG24.13 million for the 2025 financial year.
This included an interim dividend of 0.32 US cents per share for the six months ended 30 June 2025, based on 671.9 million ordinary shares in issue, excluding 54.5 million treasury shares. Shareholders received US$1.98 million and ZiG24.13 million in April 2026, with the combined interim and final dividend reaching US$3.95 million and ZiG24.13 million.
Shareholders also approved directors’ fees amounting to US$1.94 million and auditors’ remuneration of US$1.02 million.
On the sustainability front, the group announced that it had attained the Sustainability Standards Certification Initiative and achieved ISO 27001 certification, becoming the only financial institution in Zimbabwe to hold the internationally recognised information security management certification.
“We are the only financial institution in Zimbabwe that is ISO 27001 certified, which is a significant achievement for the Group,” Kufazvinei said.
