Millennium bim closed the 2025 fiscal year with a 6.4% growth in its Banking Product, reaching over MZN 19.2 billion, despite a year marked by significant macroeconomic challenges. This performance reflects the consistency of the bank’s sustainable growth strategy, based on operational efficiency and prudent risk management.
According to a statement from the institution received by Diário Económico, the growth was mainly driven by expansion in client business. Despite the adverse economic environment, the bank managed to maintain a positive activity trajectory, strengthening its presence in the national financial system.
Even with a pronounced drop in interest rates, the financial margin increased by 7.6%, benefiting from higher volumes and rigorous price management. In a challenging environment, commercial performance also allowed commissions to grow by 0.8% compared to 2024.
Credit Growth and Market Position Strengthening
Gross client credit saw a notable 12.4% increase, reaching MZN 52.9 billion, driven primarily by higher lending to households and businesses. This dynamic allowed Millennium bim to significantly strengthen its market share, consolidating its position as one of the leading institutions in the Mozambican financial system.
The bank continued to adopt a prudent risk management policy, ensuring a high-quality loan portfolio. At the end of 2025, the ratio of loans overdue for more than 90 days was 2.5%, while the impairment coverage ratio exceeded 275%.
Resources, Efficiency, and Digital Transformation
Client resources grew by 2.6%, totaling over MZN 160.9 billion, driven by a 15.7% increase in demand deposits, reflecting client proximity and the reach of the commercial network.
This growth was accompanied by a consistent increase in the customer base, now exceeding 2.2 million, with over 70% of active clients regularly using Millennium bim’s digital channels, notably the Smart IZI app.
Operating costs rose by 7.4%, mainly reflecting improvements in employee salaries and benefits. Cost growth also relates to continued investment in technological modernization, process improvement, and branch network renewal.
The net income reported amounted to MZN 201 million, representing a significant decrease compared to the previous year. This reduction results from the recognition of substantial impairments associated with the downgrade of Mozambique’s sovereign debt rating.
Excluding the impact of these extraordinary impairments, net income would have grown approximately 10.6% compared to 2024.
Asset Strength and Capital Robustness
The bank’s total net assets reached MZN 200.9 billion, while equity stood at MZN 34.6 billion. The credit-to-deposit ratio was around 33%, enabling Millennium bim to continue expanding its lending activity.
The solvency ratio reached 41.6%, well above the regulatory requirement of 12%, demonstrating the bank’s financial strength and its ability to face adverse conditions while continuing to support the Mozambican economy.
“2025 was a challenging year for the financial sector, marked by external factors that had a significant impact on profitability levels,” said Rui Pedro, CEO of Millennium bim.
International Recognition
In 2025, Millennium bim was internationally recognized as the “Best Bank in Mozambique” at the prestigious Euromoney Awards for Excellence, based on financial performance, technological innovation, service quality, and contribution to financial inclusion.
Rui Pedro highlighted that the bank maintains a very solid capital and liquidity position, a robust deposit base, and an effective capacity to continue supporting families and businesses in a challenging context. He added that Millennium bim will remain focused on efficiency, innovation, and support for the Mozambican economy.
Source: Diário Económico
