Tanzania banks cut jobs in face of new realities

[MK254]

Dar es Salaam. Banks are cutting jobs as they seek to align their operations with the new economic realities and cope with declining profit margins.
An analysis by The Citizen shows that the number of jobs in the banking industry dropped by almost 400 during the period between June 2017 and June 30, 2018 as banks focused on internal consolidation to remain afloat amid declining profits and high levels of nonperforming loans (NPLs).

Tanzania banks cut jobs in face of new realities

 

[henry kilenga]

muanzisha mada tafadhali tujuze uliishia darasa la ngapi

 

[Mkikuyu- Akili timamu]

JPM alisema mwenyewe, kazi ya bank ni kutoa fedha kwa wanabiashara si kila siku kwenda kwa BoT kutafuta usaidizi eti mimi ni bank ya wamama sijui bank ya watoto na masingizio mengine ili GoT iendelee kubebabeba banki ambazo zinashidwa na kazi. Ukishidwa kufa usiwe mzigo wa watoa kodi wa Tz. Sehemu yako itajazwa na banki itakayo jisimamia yenyewe

 

[Allency]

Wi a on ze raiti traki

 

[Don YF]

Economic reality! Where economy is doing well banks flourish. Propaganda za Tanzania are exposed by reality kila uchao! Eti 2% unemployment rate, alafu 32% extreme poverty., a whooping 19 plus million!!., tunajenga reli na maendeleo kwa pesa zetu, then vyanzo vya kutega uchumi haviwezi tosheleza ku finance national budget! hii ni siku ya nyani kukufa, kila mti unateleza!

 

[Mwanzi1]

JPM alisema mwenyewe, kazi ya bank ni kutoa fedha kwa wanabiashara si kila siku kwenda kwa BoT kutafuta usaidizi eti mimi ni bank ya wamama sijui bank ya watoto na masingizio mengine ili GoT iendelee kubebabeba banki ambazo zinashidwa na kazi. Ukishidwa kufa usiwe mzigo wa watoa kodi wa Tz. Sehemu yako itajazwa na banki itakayo jisimamia yenyewe

Very true, some banks waliokuwa wao ni kufanya biashara na serikali tu hawataki kufya biashara na wananchi au wafanyabiashara. Some banks need to be sieve out of our economy.

 

[Mkikuyu- Akili timamu]

Economic reality! Where economy is doing well banks flourish. Propaganda za Tanzania are exposed by reality kila uchao! Eti 2% unemployment rate, alafu 32% extreme poverty., a whooping 19 plus million!!., tunajenga reli na maendeleo kwa pesa zetu, then vyanzo vya kutega uchumi haviwezi tosheleza ku finance national budget! hii ni siku ya nyani kukufa, kila mti unateleza!

Economic growth is not equal to bank profit growth. If a bank cannot survive the competition let them close down just like any other business that fails to innovate and respond to the market demand.
Kenyan banks enjoy big business from GoK which is ever broke. Lending to private sector is declining every year

 

[Mwanzi1]

Economic reality! Where economy is doing well banks flourish. Propaganda za Tanzania are exposed by reality kila uchao! Eti 2% unemployment rate, alafu 32% extreme poverty., a whooping 19 plus million!!., tunajenga reli na maendeleo kwa pesa zetu, then vyanzo vya kutega uchumi haviwezi tosheleza ku finance national budget! hii ni siku ya nyani kukufa, kila mti unateleza!

These is no proof with your figures, since when Tanzania unemployment was 2%? Where is 32% extremely poverty comes from?? Muache kudanganya kama hamjuwi ukweli.

 

[Junior Clinton Mr.]

Economic reality! Where economy is doing well banks flourish. Propaganda za Tanzania are exposed by reality kila uchao! Eti 2% unemployment rate, alafu 32% extreme poverty., a whooping 19 plus million!!., tunajenga reli na maendeleo kwa pesa zetu, then vyanzo vya kutega uchumi haviwezi tosheleza ku finance national budget! hii ni siku ya nyani kukufa, kila mti unateleza!

Tumekua na mabenki mengi yaliyokua yanafanya ovyo na kuomba mikopo BoT bila ya kutengeneza faida, Kama ulikua unafuatilia hotuba ya Raisi alitaka hayo mabenki yafutwe au yamezwe na mabenki nakubwa yanayofanya vizuri kama CRDB au NMB.

 

[kilam]

Kenyan banks cut 1,620 jobs in 2017, closed 39 branches
April 16, 2018

NAIROBI, Kenya, Apr 16 – Kenyan Banks let go of 1,620 staff in 2017 as they took proactive measures aimed at increasing operational efficiency in response to a challenging operating environment.

This is according to the Cytonn Report dubbed Kenya listed FY 2017 report.

Equity Group led the pack with 400 staff leaving the bank with Standard Chartered Bank retrenching 300 people.
Barclays Bank of Kenya followed suit with the retrenchment of about 300 followed by KCB Group at 223.
Others include National Bank at 150, Sidian Bank at 108 and First Community Bank at 106, and NIC Bank at 32 among others.
The reduction of staff took the shape of Voluntary Early Retirement Programs and the ‘re-allocation of resources’ in an increasingly digitized environment.

The number could be higher if the report had specified numbers for I&M Bank, Eco Bank and Bank of Africa.
“The focus for the banking sector in 2017 was on adjusting business models to conform to the Banking (Amendment) Act 2015. To this effect, banks took proactive measures aimed at increasing operational efficiency in response to the challenging operating environment, such as laying off staff, closure of branches, reviewing operating hours for some branches, or outright sales in the case of struggling Tier III banks,” the report states.

During the same period, 39 branches were closed with Bank of Africa closing the most branches at 12 followed by Eco Bank at 9, Equity Group and Barclays Bank of Kenya closed 7, while Standard Chartered closed four branches.
Going forward, according to the report, we are likely to witness banks’ push for efficiency gather pace to balance off the expected reduction in absolute profitability as they shy away from the physical branch model, which is very expensive compared to other alternative channels such as digital platforms.

“With banks registering compressed net interest margins following the capping of interest rates, much of the attention has shifted to diversifying income, through non-funded income, as this section of the bank’s revenue is not affected by the interest rate caps,” the report notes.

Non-funded income (NFI) has grown by 9.1 percent in 2017, compared to the 5-year average growth of 8.1 percent, taking its contribution to total income to 33.6 percent, from 31 percent registered in FY’2016, compared to the 5-year average contribution of 33.4 percent.

“We expect this to continue going into 2018, as banks seek alternative sources of income to boost profitability. We believe revenue and product diversification is one of the core opportunities for the banking sector,” the report indicates.

Kenyan banks cut 1,620 jobs in 2017, closed 39 branches - Capital Business

 

[Don YF]

These is no proof with your figures, since when Tanzania unemployment was 2%? Where is 32% extremely poverty comes from?? Muache kudanganya kama hamjuwi ukweli.

My friend uko nyuma!., taarifa hizo pia zilichapishwa hapa na Ichoboy01., from credible government sources.

 

[Mwanzi1]

My friend uko nyuma!., taarifa hizo pia zilichapishwa hapa na Ichoboy01., from credible government sources.

Na wewe ukameza fake news, real detail are all over the web, sio hizo ulizozikubali kwa shingo upande.