Kenya: KCB Issued Sh8 Billion in Mobile Loans to 13 Million Customers From Jan-March

May 18, 2018 | CapitalFM; All Africa

KCB Group issued Sh8 billion in mobile loans in the first quarter of 2018.

While announcing its Q1 results, where the group declared a profit of Sh5.18 billion, the lender issued the loans to 13 million customers through its KCB M-Pesa platform. Chief Executive Officer Joshua Oigara said the Group is keen on further bolstering non-interest income with a continued investment in new technology-based financial solutions focused on enhancing the customer journey, "by providing convenient access to a host of products and services." However, Non-interest income remained relatively flat due to a drop in forex earnings largely attributable to low transaction volumes in South Sudan. Transactional activity continued to shift away from branches, with non-branch transactions standing at over 85pc of the total volumes. At least 57pc of transactions were handled on mobile, 20pc were done through the Bank's agents and point of sale terminals and 10pc via the ATM network. Fees and commissions growing by 5pc from Sh3.4 billion to Sh3.5 billion while interest income grew by 11pc from Sh14.1 billion to Sh15.7 billion as a result of growth in the loan book which climbed 6pc to Sh418.6 billion. The Group foresees a strong growth for the year 2018. Source: All Africa