32 NIC Bank Senior Managers Set To Go Home As Profits Fall By 6.3 Pc

By Juma Fred / November 24, 2016

NIC Bank Records KES 3.32Bn Decline in Profit in Q3

NIC Bank is in the process of sending home 32 senior managers joining other banks such as Family Bank, Sidian as well as First Community Bank which have sent their employees home to cut on their costs.

NIC Bank, during the release of its quarter three financial results, announced a 6.3 percent profit drop for the period ended 31st September 2016 to 3.3 billion shillings lower than the 3.5 billion shillings realized last year at the same period.

The NIC’s bad loan records increased to 3.1 billion shillings, (Five times) while the three-month un serviced loans grew to 14.2 billion shillings from 6.8 billion shillings.

The 32 senior managers about to be send home are aimed at helping the lender cut on the operational costs mostly spent on payment of salaries for staff.

NIC is not the only lender who has announced job cuts as a way of maintaining operational costs. Family Bank has announced plans to lay off an unspecified number of employees, Equity Bank already announced that 400 employees had been laid off and many others are set to follow the trail.

The banking sector in Kenya seem to be embracing technology especially the mobile banking platforms taking over all the roles that were initially being performed by the tellers. Almost every bank at the moment has an app for mobile banking with most services being undertaken by the customer.

The Interest Rates Capping Law also seems to have gotten most banks unaware and greatly reduced on their income. Many banks are blaming the fall in their profits on bad loans from their customers.



About Juma Fred

Juma Fredrick is an enthusiastic journalist who believes that journalism has power to change the world either negatively or positively depending on how one uses it. You can reach him on: (020) 528 0222 or Email: [email protected]

View other posts by Juma Fred



Other Related Articles








SOKO DIRECTORY & FINANCIAL GUIDE

ARCHIVES

2018
  • January 2018 (291)
  • February 2018 (221)
  • March 2018 (279)
  • April 2018 (176)
  • 2017
  • January 2017 (183)
  • February 2017 (195)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (206)
  • July 2017 (190)
  • August 2017 (196)
  • September 2017 (186)
  • October 2017 (236)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (167)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (246)
  • June 2016 (183)
  • July 2016 (271)
  • August 2016 (250)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (244)
  • December 2016 (154)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (109)
  • May 2015 (117)
  • June 2015 (121)
  • July 2015 (150)
  • August 2015 (157)
  • September 2015 (189)
  • October 2015 (171)
  • November 2015 (174)
  • December 2015 (208)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950