Strong Performance by Tanzanian Commercial Banks in H1 2025
Tanzania’s commercial banks have shown impressive financial performance in the first half of 2025, with a combined net profit of Sh1.2 trillion, marking a 9 percent increase from Sh1.09 trillion recorded during the same period in 2024. This growth is attributed to robust increases in both interest and non-interest income, highlighting the resilience of the banking sector.
This strong performance suggests the possibility of another record-breaking year for the industry, following the historic annual earnings of Sh2 trillion achieved in 2024. A comprehensive analysis of 32 licensed commercial banks reveals continued profitability, expanding digital revenue, and steady credit growth.
Key Financial Highlights
Interest income across the sector rose by 12 percent to Sh2.24 trillion, while non-interest income increased by 15 percent to Sh1.29 trillion. Total assets also expanded, reaching Sh68.7 trillion, up from Sh66.5 trillion in June 2024.
NMB Bank emerged as the top performer with a net profit of Sh358.57 billion, reflecting a 14 percent increase compared to the previous year. CRDB Bank followed closely with a profit of Sh346.45 billion, which represents a significant 26 percent year-on-year growth.
CRDB Group’s CEO and managing director, Abdulmajid Nsekela, credited the success to the effective implementation of the bank’s 2023–2027 medium-term strategy. “The first half of 2025 has shown strong momentum across the business. From top-line income growth to balance sheet expansion, we continue to demonstrate that our strategy is working,” he stated.
CRDB’s net interest income surged by 21 percent to Sh643 billion, while non-interest income, including fees, commissions, and digital banking, jumped 38 percent to Sh354 billion. Additionally, foreign exchange earnings more than doubled, rising 81 percent to Sh73 billion.
Top Performing Banks
NBC Bank secured the third-highest profit at Sh73.76 billion, a 31 percent increase. Stanbic and Standard Chartered followed with profits of Sh68.68 billion and Sh47.46 billion respectively. Exim Bank and People’s Bank of Zanzibar reported profits of Sh44.48 billion and Sh34.08 billion.
Azania Bank stood out with one of the highest growth rates, as its net profit increased by 84 percent to Sh27.73 billion, up from Sh15.05 billion. Access Bank also showed a remarkable turnaround, with a 407 percent increase in profit, rising from Sh219 million to Sh1.11 billion.
However, not all banks experienced positive results. Citibank saw a sharp decline in profits, dropping by 72 percent to Sh13.96 billion from Sh50.69 billion. Ecobank recorded a 68 percent drop, while DCB remained marginally profitable after recovering from a Sh358 million loss in 2024.
KCB and Equity showed moderate improvements. KCB’s profit rose to Sh29.42 billion from Sh26.06 billion, while Equity grew to Sh18.8 billion from Sh11.39 billion, a 65 percent increase.
Challenges and Strategic Moves
Tanzania Commercial Bank (TCB) registered a net profit of Sh17.84 billion, down slightly from Sh19.98 billion. Despite a 16 percent increase in net interest income to Sh64.42 billion, TCB faced challenges due to market liquidity issues.
TCB’s CFO, Andrew Mlingi, noted that the bank experienced strong balance sheet growth, with assets increasing 30 percent year-on-year to Sh1.95 trillion. “This performance was driven by strategic expansion in business lending, focus on non-interest income, digital adoption, and cost optimization,” he said.
Customer deposits rose 25 percent to Sh1.4 trillion, while loans and advances increased by the same margin to Sh1.2 trillion.
Income Breakdown and Sector Trends
In terms of income breakdown, CRDB led in net interest income at Sh642.62 billion, followed by NMB at Sh567.48 billion and Stanbic at Sh91.29 billion. CRDB also topped non-interest income at Sh353.9 billion.
Some banks, however, experienced declines in non-interest earnings. Standard Chartered saw a 38 percent drop in this category despite remaining among the top five most profitable banks. Citibank and Ecobank also reported double-digit declines in both interest and non-interest income.