Regional bank, Kenya Commercial Bank(KCB) on Wednesday said that its net profit grew by 11 percent to 5.8 billion shillings($50 million) in the first quarter of 2019.
Stronger non- funded income lines, robust loan book growth and reduction in interest expense drove performance from 5.2 billion shillings($49 million) reported the same period last year.
KCB CEO and Managing Director, Joshua Oigara said while the regulatory and operating business environment remained in flux, the groups corporate and retail franchises continued to post impressive returns, helping the lender to grow its market share.
“The performance is as a result of a sustained strategy that is anchored on a simplified customer journey and products that provide solutions to our customers,” said Oigara.
The profit has been attributed to the upgrading of the banks digital banking platform in 2018, channel performance has significantly improved with 91 percent of total transactions performed has significantly improved with 91 percent of total transactions performed outside the branch.
“We expect some inflationary headwinds in the economy as a result of lower rainfall in Kenya and increasing fuel prices. The Group has capacity to navigate through this and are therefore optimistic we will maintain our positive growth trajectory,” added Oigara.
The Nairobi headquartered bank has regional units in Tanzania, South Sudan, Uganda, Rwanda, Burundi and Ethiopia.
JK/as/APA