{"id":119733,"date":"2024-05-29T22:02:59","date_gmt":"2024-05-29T22:02:59","guid":{"rendered":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans"},"modified":"2024-05-29T23:10:14","modified_gmt":"2024-05-29T23:10:14","slug":"absa-profits-up-34-despite-spike-in-bad-loans","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans","title":{"rendered":"Absa profits up 34% despite spike in bad loans"},"content":{"rendered":"

Africa-Press – Kenya. <\/strong><\/span>Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its net profit to Sh5.9 billion for the period ending 31 March 2024.<\/p>\n

The lenders non-performing loans increased by Sh6 billion to Sh32.7billion compared to a similar period in 2023.<\/p>\n

The bank announced in 2023 that it would focus on the retail market.<\/p>\n

Absa Kenya’s loans and advances grew by five per cent to Sh327 billion, while customer deposits rose by 14 per cent to Sh355 billion.<\/p>\n

It attributed this to revenue diversification, supported by new ventures like bancassurance, asset management, Timiza, and stock brokerage, which contributed to a 19 per cent increase in total revenues to Sh16.5 billion.<\/p>\n

The retail-banking model has increased non-funded incomes for banks like Equity Group and KCB Bank. It focuses on high-volume, low-margin operations aimed at the low-income segment of the population.<\/p>\n

Interest income went up by 22 per cent to Sh11.4 billion, and non-funded income increased by 13 per cent to Sh5.1 billion.<\/p>\n

Managing Director and CEO Abdi Mohamed said the bank’s resilience and alignment with its strategic objectives had yielded fruit.<\/p>\n

\u201cWe are pleased with the resilient financial outcomes attained in the quarter under review, which demonstrates that we are sustaining strong business performance anchored on our new strategy,\u201d said Mohamed.<\/p>\n

The first quarter saw significant growth in customer numbers, driven by new products, technologies, and relationship models.<\/p>\n

The bank also focused on critical sectors such as agriculture, trade, and manufacturing, and maintained its position in corporate and investment banking.<\/p>\n

Underlying costs grew by 11 per cent due to investments in human capital and digital transformation, but the cost-to-income ratio improved to 33.9 per cent.<\/p>\n

Impairment increased slightly compared to the same period last year, reflecting prudent risk management.<\/p>\n

The bank’s capital and liquidity ratios remained strong, with a total capital adequacy ratio of 17.9 per cent and a liquidity reserve position of 33.5per cent, both above regulatory requirements.<\/p>\n

In the review period, the bank\u2019s revenue grew by 19 per cent to Sh16.5 billion supported by robust growth in balance sheet.<\/p>\n

Customer deposits rose by 14 per cent to Sh355 billion while customer assets increased by 5 per cent to Sh327 billion.<\/p>\n

For More News And Analysis About Kenya<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Kenya. Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its net profit to Sh5.9 billion for the period ending 31 March 2024. The lenders non-performing loans increased by Sh6 billion to Sh32.7billion compared to a similar period in 2023. The bank […]<\/p>\n","protected":false},"author":84,"featured_media":119732,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,5],"tags":[6857,7003,544],"class_list":["post-119733","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","tag-africa-press","tag-africa-press-kenya","tag-kenya"],"yoast_head":"\nAbsa profits up 34% despite spike in bad loans - kenya<\/title>\n<meta name=\"description\" content=\"Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its n ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Absa profits up 34% despite spike in bad loans\" \/>\n<meta property=\"og:description\" content=\"Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its n ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\" \/>\n<meta property=\"og:site_name\" content=\"kenya\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2024-05-29T22:02:59+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-05-29T23:10:14+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"730\" \/>\n\t<meta property=\"og:image:height\" content=\"470\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"Absa profits up 34% despite spike in bad loans\",\"datePublished\":\"2024-05-29T22:02:59+00:00\",\"dateModified\":\"2024-05-29T23:10:14+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\"},\"wordCount\":380,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-Kenya\",\"Kenya\"],\"articleSection\":[\"all news\",\"economy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\",\"url\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\",\"name\":\"Absa profits up 34% despite spike in bad loans - kenya\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg\",\"datePublished\":\"2024-05-29T22:02:59+00:00\",\"dateModified\":\"2024-05-29T23:10:14+00:00\",\"author\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"description\":\"Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its n ...\",\"breadcrumb\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage\",\"url\":\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg\",\"contentUrl\":\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg\",\"width\":730,\"height\":470,\"caption\":\"Absa profits up 34% despite spike in bad loans\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.africa-press.net\/kenya\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Absa profits up 34% despite spike in bad loans\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#website\",\"url\":\"https:\/\/www.africa-press.net\/kenya\/\",\"name\":\"kenya\",\"description\":\"Just another Africa News Agency Sites site\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.africa-press.net\/kenya\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\",\"name\":\"cfeditoren\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g\",\"caption\":\"cfeditoren\"}}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Absa profits up 34% despite spike in bad loans - kenya","description":"Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its n ...","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans","og_locale":"en_US","og_type":"article","og_title":"Absa profits up 34% despite spike in bad loans","og_description":"Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its n ...","og_url":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans","og_site_name":"kenya","article_publisher":"https:\/\/www.facebook.com\/AfricaPressTunisiaa","article_published_time":"2024-05-29T22:02:59+00:00","article_modified_time":"2024-05-29T23:10:14+00:00","og_image":[{"width":730,"height":470,"url":"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg","type":"image\/jpeg"}],"author":"cfeditoren","twitter_card":"summary_large_image","twitter_misc":{"Written by":"cfeditoren","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#article","isPartOf":{"@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans"},"author":{"name":"cfeditoren","@id":"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb"},"headline":"Absa profits up 34% despite spike in bad loans","datePublished":"2024-05-29T22:02:59+00:00","dateModified":"2024-05-29T23:10:14+00:00","mainEntityOfPage":{"@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans"},"wordCount":380,"commentCount":0,"image":{"@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage"},"thumbnailUrl":"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg","keywords":["Africa Press","Africa Press-Kenya","Kenya"],"articleSection":["all news","economy"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans","url":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans","name":"Absa profits up 34% despite spike in bad loans - kenya","isPartOf":{"@id":"https:\/\/www.africa-press.net\/kenya\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage"},"image":{"@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage"},"thumbnailUrl":"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg","datePublished":"2024-05-29T22:02:59+00:00","dateModified":"2024-05-29T23:10:14+00:00","author":{"@id":"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb"},"description":"Absa Kenya investments on its retail market are bearing fruits after the lender reported a 34 per cent increase in its n ...","breadcrumb":{"@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#primaryimage","url":"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg","contentUrl":"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2024\/05\/sm_1717007278.5936.jpg","width":730,"height":470,"caption":"Absa profits up 34% despite spike in bad loans"},{"@type":"BreadcrumbList","@id":"https:\/\/www.africa-press.net\/kenya\/all-news\/absa-profits-up-34-despite-spike-in-bad-loans#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.africa-press.net\/kenya\/"},{"@type":"ListItem","position":2,"name":"Absa profits up 34% despite spike in bad loans"}]},{"@type":"WebSite","@id":"https:\/\/www.africa-press.net\/kenya\/#website","url":"https:\/\/www.africa-press.net\/kenya\/","name":"kenya","description":"Just another Africa News Agency Sites site","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.africa-press.net\/kenya\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb","name":"cfeditoren","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g","caption":"cfeditoren"}}]}},"_links":{"self":[{"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/posts\/119733","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/users\/84"}],"replies":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/comments?post=119733"}],"version-history":[{"count":0,"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/posts\/119733\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/media\/119732"}],"wp:attachment":[{"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/media?parent=119733"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/categories?post=119733"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.africa-press.net\/kenya\/wp-json\/wp\/v2\/tags?post=119733"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}