Millennium bcp has reaffirmed its long-term commitment to Mozambique despite a 31% decline in profits from its local operation in the first nine months of 2026, which fell to approximately €17 million from €25 million recorded in the same period of 2025. The bank attributes the drop to national financial conditions but says it has no intention of withdrawing from the Mozambican market.

The commitment was restated by Millennium bcp Chief Executive Officer Miguel Maya in an interview with Forbes Portugal on the sidelines of the bank's financial results presentation. "Millennium bcp has invested in Mozambique and does not consider leaving. It is an absolutely strategic market," he said, adding that the bank's engagement in the country is set to continue and deepen despite the various periods of difficulty already encountered.

Maya explained that Millennium bcp maintains local operations in all markets where it is present, including Mozambique, where it holds a 66.69% stake in Millennium bim. In Poland, where the group has operated for 28 years, it holds a 50% stake in a listed bank. On Mozambique specifically, Maya said he believes the period of greatest tension is being overcome and that conditions for a favourable economic trajectory are beginning to emerge.

Asked when he expects improved results from the Mozambican operation, the executive said customer business is growing, both in deposit-taking and credit extension. However, he explained that performance continues to be weighed down by provisions linked to the sovereign debt risk classification. Maya said an improvement in the country's credit rating and a potential agreement with the International Monetary Fund (IMF) could generate a new positive dynamic for the economy.

According to data published by Millennium bcp, the Mozambican economy is maintaining a gradual growth trajectory, with gross domestic product (GDP) expanding 1.7% year-on-year in the second quarter of 2026, driven by the agriculture and services sectors. The bank also noted that the IMF has revised its GDP growth forecast for 2026 upward to 1%, while inflation slowed to 6.3% in September, though it remains above levels recorded in the recent past.

Positive results despite challenging environment

At the group level, Millennium bcp posted a net profit of approximately €874 million in the first nine months of 2026, a 12.6% increase on the same period a year earlier. Of that total, around €728 million originated from operations in Portugal, up 11.2% on the equivalent period of 2025. Maya described the results as "frankly positive" given the challenges faced during the first nine months of the year and the elevated level of uncertainty.

Between January and September, customer loans rose 7.8% to approximately €66 billion, while total customer funds grew 7.1% to reach €116 billion. Over the same period, fee and commission income increased from approximately €629 million to €660 million, while operating costs rose 36%, approaching €1.1 billion.

On the balance between physical branches and digital services, Maya said the bank does not have a blanket plan to close branches and is seeking to maintain an equilibrium between the two channels. However, he warned that branches unable to attract customers and generate business may close, while also acknowledging the possibility of opening new outlets in areas of urban growth.

Regarding the housing sector crisis, the chief executive explained that the bank is strengthening its capacity to analyse real estate projects, including proposals that do not initially meet financing conditions. Maya also revealed that alternative solutions are being evaluated, namely through cooperatives and partnerships between local authorities and private companies, adding that some cooperative transactions have already received favourable financing decisions.

Finally, on the 2025–28 strategic plan, Maya said that several of the key objectives have already been achieved, prompting the bank to revise certain targets upward. Among them is the business volume target for 2028, initially set at €190 billion and now raised to €200 billion.