Millennium BIM Mozambique first-half profit falls 37.2%

The result compares with net profit of 1.6688 billion meticais (€22.5 million) in the first six months of last year, according to the interim financial statements seen by Lusa today. Despite the decline in profit, the bank continued to expand its operations, with total assets increasing by 12.1%, from 200.877 billion meticais (€2.708 billion) at the end of 2025 to 225.166 billion meticais (€3.036 billion) in June this year. Customer deposits rose 12.2% during the first half, from 160.935 billion meticais (€2.169 billion) to 180.611 billion meticais (€2.434 billion), while customer lending increased by 0.9%, from 49.288 billion meticais (€664 million) to 49.748 billion meticais (€670 million).

Equity increased by 1.5% to 35.145 billion meticais (€473 million), while total liabilities rose 14.3% to 190.021 billion meticais (€2.560 billion). Millennium BIM’s profit had already fallen sharply in 2025 to 201 million meticais (€2.7 million), affected by the bank’s exposure to public debt, according to its annual report and accounts. The bank posted profit of 3.309 billion meticais (€44.6 million) in 2024.

In the report, covered by Lusa in May, the management of the bank, which serves nearly 2.3 million customers, said it had recognised 5.9 billion meticais (€79.5 million) in impairment provisions on Mozambican public debt. It cited, in particular, the effects of the downgrade of Mozambique’s sovereign debt rating, which resulted in “the recognition of additional impairment associated with public debt, with significant impacts on the bank’s financial performance”. The sharp fall in profit in 2025, following a 54% decline in 2024 compared with the 2023 financial year, when net profit reached 7.211 billion meticais (€97.2 million), was also attributed to “higher credit impairment”, reflecting “an increased probability of default among certain customer segments”, influenced by “both the adverse macroeconomic environment and the reassessment of internal risk models”.

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The bank decided to allocate its 2025 profit to free and legal reserves, with no dividend distribution, as was also the case in 2024. BIM began operations in October 1995 as a strategic partnership between Banco Comercial Português (Millennium BCP) and the Mozambican state, and ended 2025 with 2,678 employees. As at 31 December 2025, the bank had share capital of 4.5 billion meticais (€60.6 million). The majority stake (66.69%) was held by BCP África (Millennium BCP Group), followed by the Mozambican state (17.12%), the National Social Security Institute (4.95%) and Empresa Moçambicana de Seguros (4.15%), among other shareholders.

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