The Merchant Bank of Central Africa saw its net profit for the six months to June increase from $946.3 million to $2.5 billion but it chose to report in inflation adjusted terms which saw net profit plunge from $2.8 billion to $21.9 million.
Net interest income increased from $1.1 billion to $1.6 billion while fees and commissions rose from $700.8 million to $2.3 billion.
Dealing profits shot up from $135.7 million to $1.2 billion. In inflation adjusted terms only dealing profits improved from $723.7 million to $1.6 billion.
The bank says growth in the lending book was constrained because corporate failure was on the increase. It says hyperinflation will continue to cause massive increases in costs while margin growth will remain elusive.
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