Barclays Kenya MD Confident of Delivering Decent Returns for Shareholders

Barclays Bank of Kenya managing Director Jeremy Awori has said their clear strategic agenda with a 2017 positive outlook and beyond will result into “decent returns for our shareholders” besides the unpredictable future for financial institutions in the country.
In an interview with the media, Awori said the bank aims to deliver services to all its stakeholders in a predicable manner.
““I believe in 2017 we shall start to feel the full impact of the Banking amendment act as each quarter passes. I am optimistic not pessimistic; we are going to work very hard to deliver to our shareholders and customers,” he says.
“We are confident for the future. We are going to make the right decisions for it. We are not in for short term, but long term,” he added.
Read: Our Diversification Strategy is Working –Barclays Kenya CEO
Asked more about the banking amendment Act to the business, Mr Awori said: “Banks have to demonstrate that they are giving returns that are reasonable and fair for their industry.”
“If banks are not able to show a route for decent returns or shares, we are at the space where we should take an honest reflection around whether that law severed what people thought it is going to serve. What is the direction of travel? We need healthy, strong banks providing the private sector credit to grow the economy across all segments. If that starts drying up, I think our recovering economy will start slowing down, less job creation which has other knock on effects,” he said.
Consequently, the Kenyan private sector growth stagnated in the month of February with the Stanbic Bank – HIS Markit Purchasing Manager’s Index posting its lowest reading since the inception of the series in January 2014, the latest PMI survey has shown.
At 50.1 in February, down from 52.0 in January, the seasonally adjusted PMI signaled broadly stagnant business conditions. The lowest seen over 38 months of data collection.
“As we pointed out in our previous report, the ongoing drought and decline in private sector credit access will inevitably lead to deterioration in business conditions within the Kenyan private sector. This month’s historic low reading is symptomatic of these risks that we are flagging,” said Jibran Qureishi, Regional Economist E.A at Stanbic Bank.
Read: Declining Private Sector Credit Growth to Impact Negatively on Kenya’s GDP Growth
For Barclays Kenya,” At the end of the day, our goal is to offer decent returns to our shareholders and this we shall do by implementing our set out agenda”.
Analysts project a positive outlook for the institution.
“Barclays Bank will thrive on continued investment in the automation and digitization of systems, processes and solutions in a bid enhance efficiency as well as to provide their customers with convenient access to products and solutions, and revenue diversification with new business lines such as Barclays Financial Services Limited (BFSL) coupled with stronger focus on SMEs and agency banking leveraged by the bank to spur growth,” says Cytonn Investments’ Barclays Bank FY’2016 Earnings Note.
Genghis Capital on the other hand state, “Though FY16 had impressive performance, we expect the new interest rate environment to curtail loan book growth as banks move towards more risk averse business models. Despite 12% dividend yield coming as positive news to investors, weakened loan book growth is likely to dampen price.”
About David Indeje
David Indeje is a writer and editor, with interests on how technology is changing journalism, government, Health, and Gender Development stories are his passion. Follow on Twitter @David_Indeje David can be reached on: (020) 528 0222 / Email: info@sokodirectory.com
- January 2025 (118)
- February 2025 (78)
- January 2024 (238)
- February 2024 (227)
- March 2024 (190)
- April 2024 (133)
- May 2024 (157)
- June 2024 (145)
- July 2024 (136)
- August 2024 (154)
- September 2024 (212)
- October 2024 (255)
- November 2024 (196)
- December 2024 (143)
- January 2023 (182)
- February 2023 (203)
- March 2023 (322)
- April 2023 (298)
- May 2023 (268)
- June 2023 (214)
- July 2023 (212)
- August 2023 (257)
- September 2023 (237)
- October 2023 (264)
- November 2023 (286)
- December 2023 (177)
- January 2022 (293)
- February 2022 (329)
- March 2022 (358)
- April 2022 (292)
- May 2022 (271)
- June 2022 (232)
- July 2022 (278)
- August 2022 (253)
- September 2022 (246)
- October 2022 (196)
- November 2022 (232)
- December 2022 (167)
- January 2021 (182)
- February 2021 (227)
- March 2021 (325)
- April 2021 (259)
- May 2021 (285)
- June 2021 (272)
- July 2021 (277)
- August 2021 (232)
- September 2021 (271)
- October 2021 (304)
- November 2021 (364)
- December 2021 (249)
- January 2020 (272)
- February 2020 (310)
- March 2020 (390)
- April 2020 (321)
- May 2020 (335)
- June 2020 (327)
- July 2020 (333)
- August 2020 (276)
- September 2020 (214)
- October 2020 (233)
- November 2020 (242)
- December 2020 (187)
- January 2019 (251)
- February 2019 (215)
- March 2019 (283)
- April 2019 (254)
- May 2019 (269)
- June 2019 (249)
- July 2019 (335)
- August 2019 (293)
- September 2019 (306)
- October 2019 (313)
- November 2019 (362)
- December 2019 (318)
- January 2018 (291)
- February 2018 (213)
- March 2018 (275)
- April 2018 (223)
- May 2018 (235)
- June 2018 (176)
- July 2018 (256)
- August 2018 (247)
- September 2018 (255)
- October 2018 (282)
- November 2018 (282)
- December 2018 (184)
- January 2017 (183)
- February 2017 (194)
- March 2017 (207)
- April 2017 (104)
- May 2017 (169)
- June 2017 (205)
- July 2017 (189)
- August 2017 (195)
- September 2017 (186)
- October 2017 (235)
- November 2017 (253)
- December 2017 (266)
- January 2016 (164)
- February 2016 (165)
- March 2016 (189)
- April 2016 (143)
- May 2016 (245)
- June 2016 (182)
- July 2016 (271)
- August 2016 (247)
- September 2016 (233)
- October 2016 (191)
- November 2016 (243)
- December 2016 (153)
- January 2015 (1)
- February 2015 (4)
- March 2015 (164)
- April 2015 (107)
- May 2015 (116)
- June 2015 (119)
- July 2015 (145)
- August 2015 (157)
- September 2015 (186)
- October 2015 (169)
- November 2015 (173)
- December 2015 (205)
- March 2014 (2)
- March 2013 (10)
- June 2013 (1)
- March 2012 (7)
- April 2012 (15)
- May 2012 (1)
- July 2012 (1)
- August 2012 (4)
- October 2012 (2)
- November 2012 (2)
- December 2012 (1)