The Kenya Commercial Bank (KCB) announced on Thursday that it has made up to Sh12.7 billion profit in half a year.
This is a 5 per cent growth in their earnings.
The growth in earnings is attributed to the companies lending and digitization of their services.
Their loans and advances to customers increased by 14 per cent to Sh478.7 billion.
The bank loaned up to Sh22.4 billion to the Treasury making a 20 per cent increment.
“This has effectively been the result of a balance in our investments. We still see suitable yields in mid and long term paper and hence chose to deploy our excess cash in government,” said KCB Group Chief Executive Officer Joshua Oigara as quoted by Citizen Digital.
According to the bank, their agency, mobile and merchant banking have given them an upper hand making them stand out.
KCB Mpesa and Fuliza increased their mobile lending flow. The two channels amounted to Sh66.7 billion and Sh27.4 billion in total. They helped propel mobile loans beyond the Sh100 billion mark set by the company.
KCB is on the verge of acquiring National Bank of Kenya (NBK) and also a derivation of assets from Imperial Bank Limited in Receivership (IBLIR).
In a bid to become the first Sh1 trillion asset valued lender, the bank wants to expand its branches into the Eastern Africa region.
“We see emerging opportunities in the region. Organic growth has served us well so far but with the observance of moves such as the liberalization of financial services in Ethiopia, we should begin looking at such markets differently,” KCB Group Chairman Andrew Kairu was quoted by Citizen Digital.