Diamond Trust Bank (DTB) Uganda has significantly written off loans worth Shs34.4bn in 2016, up from Shs5.9bn in 2015, Business Focus reveals.
This is contained in the bank’s financial results for the year ended 2016 released last week.
As a result of the high Non-Performing Loans (NPLs)affecting the banking industry due to high interest rates and poor performance of the economy, DTB was cautious in its lending; loans advanced to customers reduced to Shs765.5bn in 2016, down from Shs809.1bn in 2015.
However, the bank saw its NPLs drop reduced to Shs28.3bn in 2016, down from Shs69.2bn in 2015.
Customer deposits slightly increased to Shs1.1trn, up from Shs1.04trn in 2015, while total assets rose to Shs1.43trn, slightly up from Shs1.32trn in 2015.
Managed by Varghese Thambi as Chief Executive Officer, DTB saw its profit after tax slightly increase to Shs21.5b in 2016, up from Shs19.7bn in 2015.