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FDH Bank shareholders to share K7.3bn dividend

FDH Bank plc has declared a final dividend of K2 billion or 29 tambala per share, bringing the total dividend for the year ended December 31 2021 to K7.3 billion or K1.05 per share.

In a statement signed by company secretary Juliano Godfrey Kanyongolo, the Malawi Stock Exchange-listed home-grown bank said it already paid the first and second interim dividends for 2021.

Reads the statement: “This dividend brings the total dividend in respect of the year ended 31 December 2021 to K7.3 billion having already paid a first interim dividend of K2.3 billion (K0.33 per share) on August 27 2021 and a second interim dividend of K3 billion (K0.43 per share) on January 14 2022.”

The statement follows the approval during the FDH Bank plc annual general meeting (AGM) last week in Blantyre.

Speaking at the AGM, FDH Bank plc board chairperson Charity Mseka said the bank has registered sustainable growth over the past five years with profitability growing at a compound annual growth rate of 242 percent from a loss of K1 billion in 2017 to a profit after-tax of K11.7 billion.

The bank’s total assets registered an annual growth rate of 11 percent from K150 billion in 2017 to K305 billion in 2021, which shows the “trust people have in this home-grown bank”.

Mseka stressed the bank’s commitment to leveraging technology and innovation to ensure financial inclusion

“This is being done in coordination with our various partners, including the Government of Malawi, Financial Access for Rural Markets, Smallholders and Enterprises and the International Fund for Agricultural Development,” she said.

Mseka said going forward, FDH Bank plc is building capabilities to continue staying ahead of the volatile and complex operating business environment.

FDH Bank plc posted a profit after-tax of K11.7 billion in the year ended December  2021.

The bank said the depreciation of the kwacha coupled with high local inflation rate, which averaged 9.46 percent for the year, increased the cost of foreign contracts and the general cost of doing business.

FDH Bank plc listed on MSE on August 3 2020.

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