Dar es Salaam. Friday, May 24, 2024. The Tanzania Agricultural Development Bank (TADB) has given a dividend of 850 million shillings to the government, which is an increase of 41.7% from 600 million shillings in the year ended December 2022, in the Annual General Meeting for the financial year ended 31 December 2023.
Speaking at the meeting, the Treasury Registrar Mr. Nehemia Mchechu, commended TADB for the job well done in financing agricultural projects including livestock and fisheries value chains, and he said that TADB is a strategic bank so the government will continue injecting capital to boost its efficiency.
“The Agricultural Development Bank is a key institution because agriculture employs many people and is a significant part of the economy. To demonstrate the government’s commitment to managing and improving agriculture, it has already invested a total of 315 billion shillings as capital. Moreover, the government plans to continue increasing this investment in the future,” Said Nehemia Mchechu, Treasury Registrar.
“He added, ‘The bank has continued to perform well. In 2023, it generated a profit of 14 billion shillings, which is higher compared to the previous year ended in December 2022. In addition to their profits, they have paid dividends of 850 million shillings to the government.'”
Mr. Nehemia Mchechu has thanked the board of directors, management and employees of TADB for continuing to ensure that the bank performs well and the government investment continues to flourish.
On the side of the Chairperson of the Board of Directors, TADB, Mr. Ishmael Kasekwa has said, the Board of Directors assures the government (shareholder) that it will continue to manage the bank professionally to achieve the intended goals.
“On behalf of the board of directors, we would like to assure the shareholder that we will continue to manage and advise the TADB management so that the bank continues to perform well and fulfil its establishment intended goal” said Kasekwa.
And the Managing Director of TADB, Mr. Frank Nyabundege, in addition to explaining the success of the bank for the financial year ended December 2023, has also thanked the six-phase Government of the United Republic of Tanzania for the continuing support in fulfilling the banks mandate.
“Due to the increase in lending for the year ended December 2023, the profit after tax increased from 11 billion shillings in December 2022 to 14 billion shillings which is an increase of 27%,” said Mr. Nyabundege.
Nyabundege continued “In the year ended in December 2023, lending increased from 264 billion shillings in December 2022 to 331 billion shillings, equivalent to an increase of 25%. TADB and support from the government of the sixth phase, led by Hon. Dr. Samia Luluhu Hassan”.
TADB As a strategic bank we have been reflecting on what the leader of the country and the government have been doing, as you have witnessed the budget and investment in agriculture have increased and we are trying to keep up with that pace.
In line with the increase in profits and lending, the value of bank assets has increased by 36% compared to the year ended December 2022.
“In the year ending December 2023, the value of bank assets increased from 448 billion shillings in December 2022 to 607 billion shillings, equivalent to an increase of 36 per cent”.
In addition to ensuring access to our services, for the year 2023 TADB added 2 offices; The Southern Regional Office located in Mtwara, serving the regions of Lindi and Ruvuma and the Northern Regional Office located in Arusha, serving the regions of Kilimanjaro, Tanga and Manyara.
Nyabundeme has thanked the sixth phase government for its various efforts to increase the bank’s efficiency, including the increase in capital and the enabling environment.
“On behalf of TADB, I would like to take this opportunity to thank the Government of the United Republic of Tanzania phase led by Hon. President Dr. Samia Suluhu Hassan, for increasing the bank’s capital which has directly contributed to the bank’s efforts to bring change and revolution in agriculture from subsistence agriculture to commercial agriculture”. He insisted, Nyabundege.
In addition, through the 2023/2024 Parliamentary budget, the government promised to implement a plan to increase TADB’s capital by 1 trillion shillings for five to ten years to increase the efficiency of the lending agricultural projects including livestock and fisheries value chains.
“I would like to remind you, TADB, our main goals are to ensure that we contribute to food sufficiency and security in the country; as well as shaping the agricultural revolution from subsistence agriculture to commercial agriculture”.
“To raise the national and individual GDP, increase employment and reduce poverty, take measures to ensure that pesticides and agricultural inputs are available on time and at low cost, as well as identifying opportunities for sugar markets
