Stanbic 1H23 Financial Results Presentation slide image

Stanbic 1H23 Financial Results Presentation

117.8 Jun-22 Jul-22 OPERATING ENVIRONMENT - KENYA OVERVIEW 5.70% 5.10% GDP Growth 7.50% 5.0% 4.80% -0.30% 2018 2019 2020 2021 2022 2023 (f) USD-KES Exchange rate trend Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23 140.45 19% YoY depreciation Apr-23 May-23 Jun-23 5 | STANBIC 1H23 FINANCIAL RESULTS PRESENTATION ■ RISING INTEREST RATES GDP CBR hikes: Central Bank rate (CBR) raised by 100bps. Cumulative increase over the last one year of 300bps T-Bill Rates: Interest rates are rising as investors are increasingly looking for high returns. 91-day up >380bps for the last 12 months Private Sector Credit Growth is expected to decline as rates increase The Kenyan economy grew by 5.3% in Q1 2023 compared to 6.2 % in Q1 2022. The growth was largely supported by rebound in agriculture, growth in Accommodation and Food Service, Information and Communication Technology, Transportation, Financial and Insurance, and Wholesale and Retail Trade. GDP is expected to grow by 5% in 2023 IMF) INFLATION Inflation: Tapering but above the Central Bank range of 2.5% to 7.5% as at end of June 2023 New tax measures to impact cost of living CURRENCY AND FX RESERVES Kenya shilling lost close to 1/5th of value year on year
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