This archive report was first published on 7 October 2019.
Published on October 7, 2019, KCB Group's regional expansion drive has intensified as the lender eyes new markets in Ethiopia and the Democratic Republic of Congo (DRC).
The bank's CEO, Joshua Oigara, revealed plans to venture into the two markets to grow revenues and expand operations across the region.
With a representative office in Ethiopia since 2015, KCB is waiting for an operating license to start business in the country. Despite foreign banks being restricted from operating in Ethiopia, the nation's economic reforms under Prime Minister Ahmed Abiy continue to attract foreign investments.
The Ethiopian market presents a significant opportunity, with over 100 million people and only about 15 percent of the population having a bank account.
Earlier this year, Oigara disclosed that KCB's presence in Ethiopia would be through a mobile lending platform, a partnership with an Ethiopian bank, or a fully-fledged subsidiary by the end of 2020.
Additionally, KCB sees an opportunity in the Democratic Republic of Congo (DRC), where there is low access to banking services. Official statistics indicate that about 90 percent of the population in DRC is unbanked.
With profits of KSh12.7 billion in the first half of 2019, KCB aims to grow its balance sheet to KSh 1 trillion.
The bank already operates in Uganda, Tanzania, Rwanda, Burundi, and South Sudan.
