Maputo, 24 May (AIM) – One of Mozambique’s largest commercial banks, the Millennium-BIM, recorded, over the last year, profits evaluated at 201 million meticais (3.1 million US dollars at the current exchange rate).
According to the bank’s annual report and accounts, this amount corresponds to a sharp fall impacted by the bank’s exposure to public debt.
In 2024, the bank had reported profits of 3.309 billion meticais.
The report points out that the downgrade of Mozambique’s sovereign debt rating led to “the recognition of additional impairments associated with public debt, with relevant impacts on the evolution of the bank’s results”.
The sharp fall in 2025 profits follows a 54 percent decline in 2024 compared with the 2023 net result, when profits reached 7.211 billion meticais, influenced by an increase in credit impairment resulting from a greater probability of default by certain customer segments, influenced by both the adverse macroeconomic context and the reassessment of internal risk models.
“The bank had to set aside 5.9 billion meticais in impairments related to public debt. The bank decided to allocate 2025 profits to free and legal reserves, with no dividend distribution, as was also the case in 2024”, reads the report.
According to the document, the bank’s income in 2025 rose 6.5 percent to 19.229 billion meticais, while total assets fell 0.53 percent to 200.877 billion meticais. “Net loans to customers increased 9.14 percent to 49.288 billion meticais, while customer deposits grew 2.65 percent to 160.935 billion meticais. Equity remained virtually unchanged at 34.632 billion meticais.
“2.68 percent of the bank’s total loan portfolio was non-performing in December, down from 2.92 percent a year earlier, 3.08 percent in 2023 and 7.85 percent in 2022. However, overdue loans of more than 90 days covered by impairments rose from 144.66 percent to 275.28 percent over the past year”, reads the document.
However, despite the adverse domestic and international environment, Millennium BIM – which is celebrating 30 years of operations with 2,678 employees – maintained a solid capital structure and comfortable capital levels in 2025.
“Despite this performance, the bank maintained solvency levels significantly above the regulatory minimum, reflecting the robustness of its own funds and its capacity to absorb adverse shocks,” management said in the report and accounts.
As of 31 December 2025, Millennium BIM had share capital of 4.5 billion meticais, mostly held by BCP Africa, part of the Portuguese Millennium BCP group, with a 66.69 percent stake. Other shareholders include the Mozambican state (17.12 percent), National Social Security Institute (INSS) (4.95 percent) and Mozambique’s largest insurance company, the publicly owned EMOSE, (4.15 percent).
Am/
