Equity bank CEO James Mwangi. Photo/nation.co.ke

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Equity Bank has announced a 6 percent drop in first quarter profit to Sh4.9b.

During a similar period last year, the lender posted Sh5.1 billion.

On Wednesday, the bank announced closure of more than half of its branches in South Sudan citing unfavorable economic environment.

“A cautious approach in credit underwriting because of inability to price risk saw the loan book decline by 5 percent from Sh275billion to Sh262billion. The increase in funding was invested in government securities which on a risk adjusted basis currently yields similarly to loans, and yielded about 12 percent,” said CEO James Mwangi.