Absa Bank Kenya net profit up 12% to Sh16.4bn in 2023

 


Absa Bank Kenya PLC has announced a robust performance for the full year 2023, with net earnings surging by 12% to Sh16.4 billion compared to the previous year. This growth is attributed to increased funding in core sectors driving Kenya’s economic expansion.

Abdi Mohamed, CEO of Absa Bank Kenya, expressed satisfaction with the impressive performance, noting that it reflects the growth and resilience of customers who continue to trust the bank as their financial partner.

During the period, customer loans and advances soared by 18% to Sh336 billion, with a strategic focus on supporting vital economic sectors like energy, telecommunications, manufacturing, trade, commercial property, and affordable housing.

Additionally, the bank prioritized the needs of the SME sector, facilitating enhanced access to financing, markets, mentorship, and networking opportunities. Furthermore, digital enhancements were implemented to enhance the customer experience.

Revenues also witnessed a significant uptick, climbing by 19% to Sh54.6 billion, driven by expanding customer assets and the accelerated growth of new business lines such as bancassurance, asset management, and digital finance.

Interest income surged by 24% to Sh40 billion, while non-funded income saw a modest growth of six per cent to Sh14.5 billion despite facing challenges in the macroeconomic environment.

Mohamed highlighted the effectiveness of the bank’s strategy in creating value for stakeholders and achieving long-term growth in a dynamic operating environment.

He emphasized that the strong performance in 2023 provides a solid foundation for executing the bank’s set priorities as part of its five-year strategy.

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