This archive report was first published on 18 November 2021.
On November 18, 2021, the Cooperative Bank of Kenya announced a significant financial performance, with a net profit of Sh11.6 billion for the nine months ended September. This represents an 18.9 percent growth, attributed to increased net interest income.
The bank's net interest income rose by 21.3 percent to Sh28.7 billion, while the total operating income grew by 19.2 percent to Sh44.4 billion. Loans issued to customers increased by 7.8 percent to Sh306.3 billion, and customer deposits grew by 12 percent to Sh420.4 billion.
However, a 50 percent growth in loan-loss provisions pushed the company's total operating expenses to Sh28 billion, a 19.2 percent rise. In response, the bank has revised its loans provisions upwards to Sh6 million to aid businesses and households affected by the COVID-19 pandemic.
Commenting on the results, Cooperative Bank of Kenya's Chief Executive Officer Gideon Muriuki assured the bank's commitment to executing a proactive mitigation strategy anchored on a strong enterprise risk management framework and to enable uninterrupted access to banking services.
"We shall ride on the unique synergies in the over 15 million-member co-operative movement that is the largest in Africa, continue to pursue strategic initiatives that focus on resilience and growth in the various sectors as the economy continues to recover," he said.
