KCB Rwanda posts Rwf34m profits

KCB Rwanda has reported a net profit of Rwf34m for the quarter two of this year compared to a loss of Rwf1.3b in the same period last year. The subsidiary of Kenya Commercial Bank (KCB) Group has maintained good performance in its third year of operations after breaking-even in quarter one following two years of losses. The Bank’s Managing Director, Maurice K. Toroitich, attributes the growth to new businesses plus customer growth. “After two years of making losses because of investments, we have since then grown our book, kept our cost flat and we have also grown our loan book,” Toroitich explained. According to the bank’s financial statement, its net interest income increased by 308 per cent to Rwf1.3b up from Rwf333.7m in first six months, occasioned by growth in loans and advances to customers. The bank loans and advance increased by 122 per cent to Rwf21b compared to Rwf9.4b as of June 2010, it said in the statement. The lender’s performance at the end of the year will be much better based on what it has realised in July and August, Toroitich said. “We will attain this is by increasing our lending operations and the mortgage facility which is growing,” he added. Further noting that before the end of this year, the bank’s mortgage book stood below Rwf1b but up-to-date stands at Rwf3b. KCB’s financial statement also states that the bank’s total assets grew by 87 per cent to Rwf48.2b up from wrf25.8b in the same period last year, mainly due to strong growth in its clientele base. Toroitich indicated that the bank’s customer base currently stands at 40,000. “The bank’s customer deposits increased by 54 percent to Rwf26.8 billion in the first six months of this year compared to Rwf17.4 billion the same period last year,” Toroitich said in a statement. KCB Rwanda’s boss also disclosed that in a few months, the bank will be rolling out more products on mobile and internet banking to enable customers to purchase of cash power, pay water bills and TV subscription. Ends

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KCB Rwanda posts Rwf34m profits