Investors Diary

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Wednesday, July 18, 2007

KCB Expansion Plan


35 New Branches:
Kenya Commercial Bank will open 35 New branches in Kenya over the next 12 months according to Susan Mudhune the group chairperson. This is in line with their elaborate expansion plan that will also see the bank open a subsidiary in Kampala after its successful expansion to Southern Sudan and Tanzania. The company also intends to increase its branches in Tanzania and Southern Sudan.
ATMs:
The bank will also install 35 new Automated Teller Machines (ATMs) to cater for the expanding customer base.
Core Banking System:
The bank would also implement the new core banking system-T24 from Temeons- in order to provide technology-driven products and enhance efficiency.
Dividends:
The bank yesterday paid KShs 314.1 million to the goverment as dividend payment for the year ended December 2006. The Government is the bank’s majority shareholder possessing 26.2 per cent.
Turnaround:
The company being the largest indigenous bank has come from a loss making entity to a pre-tax profit of Ksh 3.2 Billion in 2006 and its expansion plans attest to this fact and confirming that Banks's prospects in the future are good.

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