Barclays Bank Tanzania has over tripled the money set aside for impairment losses on loans and advances from Tshs 729 million this year's first quarter to Tshs 2.55 billion, thanks to austere measures to cut expenses, the bank managed to post a hefty profit in just three months. The expenses were cut from Tshs 12.92 billion to Tshs 11.6 billion.

The banks financial statement also shows the bank’s net profit in this year's first quarter doubled to Tshs 1.075 billion, despite an increase in the fund set aside for bad loans and advances.

According to the bank, profit increased almost three-fold from Tshs 442million of January-March 2012 to Tshs 1.075 billion of same period this year, on the back of increased net interest income.

The non-performing loans have climbed to Tshs 33.6 billion in first quarter compared to Tshs 31.52 billion of the same quarter last year. The assets in the same first quarter of this year grew from Tshs 577.57 billion to Tshs 634.43 billion mainly attributed to the loan portfolio that reaches Tshs 358.93 billion while deposits reaches Tshs 441.78 billion.

The net income in the said period went up from Tshs 7.025 billion to Tshs 8.01 billion while none income interest slowed down from Tshs 7.25 billion to Tshs 7.22 billion, as fees and commission go down slightly.