Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

Kenya

StanChart Q1 posts 41pc growth

NAIROBI, Kenya, May 17- Standard Chartered Bank has announced a 41 percent pretax profit jump in its first quarter of 2012 to Sh3.3 billion, with its total income rising 33 percent to Sh5.5 billion. The bank’s Chief Executive Officer Richard Etemesi attributed the good performance to the benefits of sticking to a clear and consistent strategy; of investing for growth; of disciplined management of capital, liquidity, costs and risks. “We have continued to invest in both our businesses. Consumer banking income momentum has continued while Wholesale Banking has also had a strong start to the year with a record performance in client income, contributing significantly to the total Wholesale Bank income,” said Etemesi. The Bank’s loans and advances grew by 41 percent to Sh96.5 billion due to growth in both consumer and corporate assets. On the other hand, customer deposits grew by 17 percent to Sh118.6 billion. The net bad debt charge however reduced from Sh135.5 million in the first quarter of 2011 to Sh134.3 million in the first quarter of 2012. “In the last one year, our total non-performing loans have remained flat at Sh1.2 billion despite significant growth in loans and advances and remain among the lowest in the market. This translates to 1.3 percent of gross total loans compared to 1.8 percent in the first quarter of 2011, a reflection of our prudent approach to lending and proactive risk management capability”, said Etemesi. The Bank’s cost income ratio has decreased to 38 percent in the first quarter of 2012 compared to 40.4 percent in the same period in 2011. On the outlook for the rest of the year, Etemesi said, the bank will remain vigilant about the global outlook and the uncertainties within the political and economic environment in Kenya.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...