* For the half-year ended June 30, 2026, representing approximately 124% increase from the K18.3 billion recorded during the same period in 2025
* The bank assures it will maintain a cautious yet proactive approach, prioritising robust risk management and operational excellence
By Duncan Mlanjira
CDH Investment Bank announced that it has reported strong interim results for the half year ended June 30, 2026, posting a profit after tax of K41.0 billion.
This represents approximately 124% increase from the K18.3 billion recorded during the same period in 2025.
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In its summary of financial statements for this period, CDH Investment Bank states that the growth was supported by the expansion of the average interest-earning assets, with notable increases across the customer loans and advances portfolios and coupled with improved fixed income trading activities and margins.
The strong performance is also attributed to have been driven by significant growth in both net interest income and non-interest income, which rose by 121% and 123% respectively.
Total assets grew by 37%, from K764.0 billion in June 2025 to K1,048.5 billion in June 2026.
This, according to the CDHIB, was largely driven by a 34% increase in financial assets at fair value through profit or loss, a 38% rise in investments in fixed income securities at amortized cost, and a 21% increase in loans and advances to customers.
“These gains were supported by a 29% growth in investment funds and a 37% increase in customer deposits,” says the bank in the statement, adding it reported a customer loans-to-deposits ratio of 45%, while the total loans-to-funding base ratio was 35%.
“Liquidity levels remained strong, highlighted by a Liquidity Coverage ratio of 159%. Shareholders’ equity increased by 84% to K99.3billion.
“The strengthened capital position was driven by higher retained earnings and effective risk-weighted assets management, resulting in a Capital Adequacy Ratio of 26% and Tier 1 Ratio of 26%.”
CDHIB’s Chief Executive Officer & Managing Director, Thoko Mkavea
Commenting on the results, CDHIB’s Chief Executive Officer & Managing Director, Thoko Mkavea is quoted in the statement saying the bank “will maintain a cautious yet proactive approach — prioritising robust risk management and operational excellence”.
“Its strategic focus will remain strengthening investment in staff development to build a future-ready workforce, expanding digital banking and fintech capabilities to enhance customer experience — while deepening client relationships through customised financial solutions, it’s forte in the financial services sector in Malawi.”
On the outlook for the remainder of 2026 — having taken note of the prevailing operating economic environment — the Bank takes note that the Government projects real GDP growth of 2.8% for the full year 2026, up from 2.5% in 2025, supported by anticipated gains in agriculture, construction, mining, and manufacturing.
“Fiscal consolidation, debt reprofiling, and infrastructure investments are expected to further moderation in inflation and interest rates.
“Significant risks remain, including chronic foreign exchange shortages, high fuel and import costs, fiscal pressures, unreliable electricity supply, subdued domestic demand, adverse weather events, and potential geopolitical spillovers.
“Inflation is projected to remain elevated in the near term but moderate gradually — depending on developments in food prices, exchange rate stability, fuel costs, electricity availability, and fiscal discipline.”
Overall, CDHIB maintains that the operating environment “is expected to improve progressively in the second half of 2006 — particularly if meaningful progress is achieved on IMF engagement and external financing”.
“CFH Investment Bank remains exceptionally well-positioned to capitalise on emerging opportunities while supporting our clients through continued innovation and service excellence.
“We extend our sincere appreciation to our valued clients, shareholders, regulators, business partners, and dedicated staff for their ongoing trust and collaboration.
“Together, we are setting new benchmarks for excellence in Malawi and the region,” says the Bank in its statement.
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