By James Anyanzwa
August 21, 2021
East Africa's top retail banks, KCB Bank and Equity Bank, have demonstrated resilience in the Covid-19 ravaged economy by bouncing back to profitability in six months to June 2021.
The lenders, which control close to 40 percent of the industry's total assets estimated at Ksh5.67 trillion ($52.01 billion) as at June 30, made a combined net profit of Ksh16.5 billion ($151.37 million) from their banking operations.
According to the Kenya Bankers Association, the banking industry started the year on a strong footing, buffered by strong capital and liquidity position. However, the industry's lobby group cautioned that the lenders are yet to recover fully from the effects of the pandemic.
Equity Bank was the highest earner, having made a profit of Ksh8.8 billion ($80.73 million), bringing its total net profit to Ksh17.9 billion ($164.22 million) from Ksh9.1 billion ($83.48 million) in the same period last year.
Stanbic Holdings Plc, a member of the Standard Bank Group of South Africa, made a profit of Ksh950 million, pushing its net profit by 37 percent to Ksh3.5 billion ($32.11 million) from Ksh2.55 billion ($23.39 million) in the same period last year.
Equity Group announced a resumption in dividend payment to shareholders following its 98 percent growth in net profit during the six months period to June 30.
