Absa Bank Kenya PLC has reported a net profit of Ksh. 10.9 billion for the year ended 31st December 2021. This marks a  161% rise in profitability as compared to a similar period the previous year.

The strong performance was on the back of a 7% growth in Total income to Ksh. 36.9 billion. This was primarily due to higher interest income, which increased by 8% to Ksh. 32 Billion as a result of increased lending. Non-funded income grew by 5% to Ksh. 11.6 Billion driven by new innovations and continued digitization.

On the other hand, operating expenses reduced by 17% to Ksh. 21.3 Billion driven by a 47% reduction in the loan loss provision to Ksh. 4.7 Billion.

Total Assets increased by 13% to Ksh. 429 billion in the period with growth driven by customer lending such as general lending, trade loans, mortgages and scheme. Customer deposits increased by 6% to Ksh. 269 billion.

Absa Kenya Managing Director, Jeremy Awori, had this to say, “We have drawn inspiration from the resilience of our customers and are committed to continue providing them with the financial solutions they need to pursue their growth ambitions. We are also pleased to resume dividend payment to our shareholders demonstrating the strength and resilience of our business. The Board has recommended a dividend pay-out of Kshs.6 billion for the year in review.”

The Board has recommended a dividend of Ksh. 1.1 per share, totalling to Ksh. 6 billion final pay-out. The dividend payout will be approved by shareholders at the bank’s AGM.