KCB group has reported a surge in half year profits, with regional franchises in Uganda, South Sudan, Rwanda, Tanzania, and Burundi contributing at least ten per cent to the earnings.
The group announced last week that pre-tax profits rose 13 per cent to Kshs 13.2bn, up from Kshs11.7bn recorded at the same time last year. The growth was driven by international business returns and efficient cost management, the company said in a statement.
KCB Group chairman Ngeny Biwott said the business shrugged off a relatively tough environment especially in Burundi and South Sudan, which experienced political turmoil, to post the improved earnings.
“We had a relatively tough macro-economic and political environment in most of the markets the bank operates. In South Sudan and Burundi, we had economic shocks due to political tensions. Uganda, Kenya and Tanzania were hit by currency depreciation and high inflation while Rwanda was relatively stable,” Biwott said.
KCB Group CEO Joshua Oigara said the growth was supported by an increase in interest earned on loans, plus in fees and commissions due to higher transactions volumes.