Standard Chartered Bank Kenya’s pre-tax profit soared 70% last year to Sh12.6 billion, owing to the easing of measures meant to curb the spread of COVID-19.
The lender reduced its losses from bad debts during the period by 46%, Chemutai Murgor, chief financial officer told an investor briefing.
“We are delivering the highest profit in five years,” she said.
Quick bits
The bank’s total operating income increased 6 percent.
In the same period, the bank’s non-interest income increased by 25 percent with strong performances in wealth management and financial markets.
Customer deposits increased by 3 percent with current and savings accounts making up 91 percent of total customer deposits.
Increased investment in transformational digital initiatives led to a 10 percent drop in the firm’s operating expenses. StanChart recently launched a money market fund that allows clients to save as low as Sh1000
“Looking at our Balance Sheet, we are happy that it remains strong and highly liquid. Loans and advances to our clients increased by 4 percent. The overall asset quality remained stable,” Murgor said.
StanChart, which is ranked among the top six banks in Kenya, has been focusing on wealth management in recent years, as clients search for new investment opportunities away from the traditional savings and fixed deposit products.
The Board has recommended the payment of a final dividend of Shs 14.00 for every ordinary share of Shs 5.00. An interim dividend of Shs 5.00 was declared and paid in December 2021.
“This will bring the total dividend for the year to Shs 19.00 per ordinary share which is 81 percent higher than that paid in 2020.” – CEO, Kariuki Ngari.
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