Kenya’s interest cap continues to hurt bank profits

A law capping interest rates continues to pile pressure on Kenyan banks, with at least three banks posting a drop in earnings in the first quarter of this year. NIC Bank, Stanbic Bank and Kenya Commercial Bank (KCB) posted 3.9 percent, 9.3 percent and 1.9 percent decline in profit, with the performance attributed to the […]

Stanbic, NIC kick off the new normal profit trend for banks

Kenyan bank profits slow down with jump in non performing loans

Stanbic and NIC Bank have kicked off what is likely to be a “new normal” for banking industry, underpinned by reduced profitability. The industry is grappling with a growing rate of loan defaults which started in 2015, amid interest controls to protect borrowers from high loan charges and tight regulations to enhance sound corporate governance. […]

Banks shift head offices outside town to trim uneconomical space

Kenyan banks shift head offices outside town to trim uneconomical space

Banks are relocating their headquarters out of town as growth of mobile banking means customers no longer need to walk into the branches. Ecobank, Kenya Commercial Bank and Jamii Bora are at different levels of evacuating their core staffers from Nairobi’s Central Business District to the Upper Hill area that also affords them easier access […]

KCB profit dips to Sh4.5 billion

Kenya Commercial Bank profit dips to $43.6m despite increase in loans

Kenya Commercial Bank (KCB) Group’s net profit for quarter one of this year has dropped to Sh4.5 billion. The 1.9 per cent decline from Sh4.6 billion posted in the same period last year came as interest rates, a tough economic environment and hyperinflation in Sudan started taking toll on Kenya’s largest lender by asset base. […]

False alarm: How banks’ predictions of doom are falling apart

Kenya interest rate cap remains popular despite bankers lobbying 

Festo Chege shared a personal feeling with President Uhuru Kenyatta last August relating to his finances. It was a relief shared by millions of other Kenyans following the enactment of interest rate regulation – which could be reversed, following sustained campaigns by lenders. “I was drowning in bank loan interests, thank you for the life […]

Equity sweeps most awards at an industry gala

Equity sweeps most awards at an industry gala

The Equity Bank Family after scooping 19 Awards out of the 24 possible entries it had submitted for the Think Business Banking Awards2017 held at Radisson Blu Hotel.  The Bank was crowned the top overall bank in Kenya. Largest lender by deposit accounts, Equity Holdings, emerged the overall winner during the annual banking awards, orgnaised […]

Tanzania: Govt Asks for Extradition of Former Kenyan Senior Banker

Tanzania has asked Kenya to extradite former Stanbic Bank CEO Bashir Awale to face charges in the $600 million government bond bribery scandal, it has emerged. Attorney General George Masaju has reportedly sought help from his Kenyan counterpart, Mr Githu Muigai, to bring back Mr Awale for questioning over the bribery scandal that rocked the […]

Net profit for Kenya's top ten banks rise by 10.8pc to Sh93.81 billion

Net profits for Kenya’s top ten banks rise by 10.8% to $907m

Kenya’s top 10 banks registered a 10.8 per cent growth in net earnings to Sh93.81 billion for the financial year ended December 31, 2016. The growth was despite four of the lenders – Equity Bank, Barclays Bank of Kenya (BBK), Stanbic Bank and NIC Bank – registering a drop in profits after tax. Kenya Commercial […]

Money transfer firm WorldRemit to set up Nairobi office

Money transfer firm WorldRemit teams up with KCB to expand EAC presence and set up Nairobi office

Money transfer firm WorldRemit says that it will set up an office in Kenya this year as it seeks to diversify its business to intra-African remittances. Kenya counts as WorldRemit’s second largest receiving market after the Philippines. About 93 per cent of transfers to Kenya are received via mobile money accounts. The UK-based company said […]