The micro-finance sector registered a 33.68% growth in total assets over the year from $255.21 million as at 30 September 2016 to $341.17 million as at 30 September 2017.
According to the Monetary Policy issued on Wednesday by the Reserve Bank of Zimbabwe (RBZ) Governor John Mangudya, women continue to benefit from facilities that are targeted at the marginalized and low income
“The four (4) operational DTMFI had a market share of 25.32% of the total microfinance sector loans as at 30 September 2017.
“Women continue to benefit from facilities that are targeted at the marginalized and low income, with loans to the women accounting for 38.36% of the total sector loan book.
“For the nine months ended 30 September 2017, credit only microfinance institutions posted an aggregate profit of $13.34 million while the deposit-taking microfinance institutions’ subsector recorded $1.27 million,” said Mangudya.
He added that total of forty-six credit-only micro-finance institutions posted losses largely due to unsustainable high-cost structures and high levels of delinquent loans.
“A total of forty-six credit-only micro-finance institutions posted losses largely due to unsustainable high-cost structures and high levels of delinquent loans, while in the DTMFI sub-sector, one institution posted losses largely due to the absorption of start-up costs.
“The industry Operating Self Sufficiency ratio 123.95% is above the break-even point of 100%, indicating that the microfinance sector in Zimbabwe is sustainable,” he said.
