Standard Chartered Bank Kenya has announced that it has reported a half year net profit of Ksh. 3.2 billion for the half year ending 30th June 2020. This is a reduction from the Ksh. 4.7 billion that the bank reported in the same period in 2019.
Income from loans reduced to Ksh. 6.2 billion from Ksh. 6.7 billion in 2019. Interest from Government securities also reduced to Ksh. 4.7 billion from 5.4 billion in the same period last year.
Total operating income reduced to 13.7 billion from Ksh. 14.5 billion in the previous year. Total operating expenses increased to Ksh. 8.6 billion from Ksh. 7.6 billion in the same period in 2019
Loan loss provision for the bank has gone up significantly year-on-year to Ksh. 1.6 billion, driven primarily by the impact of COVID-19 and the resultant deterioration in the macroeconomic outlook.
The company has also put in place a support scheme for individuals and SMEs including extension periods and loan repayment holidays who are affected by the COVID-19 pandemic. To date they have restructured loan facilities worth more that Ksh. 22 billion across diverse industries. In addition, the bank has approved over Ksh. 2 billion of additional financing to SMEs and Ksh. 650 million to Commercial Banking clients who are at the forefront of fighting the pandemic.
To support the community, the bank has donated 120 million to provide immediate relief to those affected by COVID-19. The company has also committed to contributing to long-term economic rebuilding efforts.
Standard Chartered Kenya recently announced that it has extended a Ksh. 200 million credit line to Gertrudes Hospital in the fight against COVID-19. The loan to Gertrudes Hospital is part of the bank’s global COVID-19 financing commitment to support local companies.