The bank has a modest competitive position in comparison to rated peers reflected by average market shares and business line diversification. Generally, lending is low, particularly foreign currency (“FCY”). Resultantly, Nedbank Zimbabwe had a low loan-to-deposit ratio (“LDR”) of 16% (FCY: 5%) in April 2021. Franchise strength is sound, reflected partly by low cost of funds and good brand association. Revenue stability and creation is broadly in-line with banking sector peers with a high reliance on non-funded income.
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