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Prime Bank Records 43 Percent Growth in Profit

Prime Bank Headquarters
  • Prime Bank’s balance sheet expanded by 7 percent during the year 2021 to KShs. 126 Billion from KShs. 116 Billion recorded in 2020.
  • By The lender’s balance sheet expanded by 7 percent during the year 2021 to KShs. 126 Billion from KShs. 116 Billion recorded in 2020.
  • Advances to customers grew to KShs. 38 Billion from KShs. 36 Billion.
  • The Bank’s liquidity ratio stood close to 80 percent way above the CBK’s statutory requirement of 20 percent.
  • Ending the year with core capital of KShs. 24 Billion against Central Bank of Kenya’s statutory requirement of KShs. 1Billion, Prime Bank maintained a strong capital adequacy position.

Prime Bank has reported a record 43 percent growth in profit(after tax) for the year ended December 31, 2021.

The Bank closed the year with a Net Profit of KShs. 3.02 Billion against KShs. 2.1 Billion recorded same period in 2020.

The growth was driven by increased income from investments in government securities, reduction in non-performing loans and cost efficiencies across its operations.

While commenting on the results, the Bank’s Managing Director Mr. Bharat Jani said the tremendous growth was as a result of investment in government securities which yielded KShs. 6.6 Billion representing a 15 percent increase from KShs. 5.7 Billion same period last year.

“The Bank remains optimistic about its growth trajectory and stands resilient to the market dynamics,” he added.

The Bank’s total deposits grew by 9 percent to close the year at KShs. 97 Billion compared to 89 Billion recorded in 2020.

Highlights:

  • The lender’s balance sheet expanded by 7 percent during the year 2021 to KShs. 126 Billion from KShs. 116 Billion recorded in 2020.
  • Advances to customers grew to KShs. 38 Billion from KShs. 36 Billion.
  • The Bank’s liquidity ratio stood close to 80 percent way above the CBK’s statutory requirement of 20 percent.
  • The Bank maintained strong capital adequacy position, ending the year with core capital of KShs. 24 Billion against Central Bank of Kenya’s statutory requirement of KShs. 1Billion.

“Going forward, the improved results signal a more energetic, renewed effort to  do even better especially as we celebrate 30 years of service to our customers this financial year,” added Mr. Jani.

Prime Bank is a 30-year old privately owned Kenyan bank. Since inception, the bank has grown to become one of the leading commercial banks. It has a network of 23 branches and business interests in other African countries such as Malawi, Botswana, Mozambique, Zambia, and in Zimbabwe, where it recently acquired Barclays Bank of Zimbabwe through its associate bank First Capital Bank.

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