Investor Presentation HY 2020
Kenyan Banking Sector Overview & 2020 Highlights
GDP
GDP growth in
Kenya is estimated
to contract for the
first time in almost
3 decades.
Shrinking by 0.3%
Banking Sector
The banking system
is sound and stable.
Well capitalized and
with sufficient
buffers
Policy Measure on Impact of
Pandemic
%
Reduction of the Cash
Reserve Ratio (CRR) to 4.25
percent, thus releasing Kshs
35.2 billion as additional
liquidity to the banking sector
• Loan restructuring for
•
borrowers affected as a result
of the pandemic while
allowing for flexibility
regarding loan classification
and provisioning
Extension of the maximum
tenor of Repurchase
Agreements (REPOs) from 28
to 91 days
Increase in NPLs
Decline of asset quality
is noted due to effects
from the pandemic as
households and
businesses capacity to
service their debts
weakens.
Digital Lending
Banks have seen
reduced levels of
digital lending, with
moderate
deterioration of
asset book
Source KBA bulletin
I&M
HOLDINGS
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