BBS banks on demutualisation as profits fall

The Botswana Building Society(BBS) is pinning hope on the pending demutualisation process to boost its earnings after recording a four percent drop in profits in the year ended 31 March 2014.

According to the results, BBS recorded a four percent decline in profits from P71million in the previous year to P68 million. In a statement accompanying the results, BBS board Chairman Cross Kgosidiile attributed the decline in profits to the constraints placed on the Society by the restrictive Building Societies Act.

While BBS has been restricted by law to mortgage lending and deposit-taking activities only, it has faced stiff competition in the market from commercial banks, which can offer many other lines of products.

Editor's Comment
Has life become worthless?

As many wondered what wrong the young boy could have done to end up killed, it emerged that his own cousin was a suspect in the murder after he claimed P50,000 from Botswana Life. Thato Tsametse, who was last week sentenced to death for the murder of his cousin, had reportedly taken out two Mmoloki Funeral Covers valued at P25,000 each.Over the years, the media has been covering the murder case, and some revelation has come up that certain...

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