Stanchart Kenya: Optimistic for 2024 Amid Strong Economic Fundamentals

: These include stabilising the local  currency, decreasing inflation and reopening international debt markets for frontier economies like Kenya

                By Charles Wachira 

Standard Chartered Kenya is optimistic about the outlook for 2024, citing improving domestic and international economic fundamentals.

Kariuki Ngari, the bank’s chief executive, expressed confidence after a significant 15% increase in pre-tax profit for 2023 to 19.6 billion shillings ($141.31 million), a testament to the bank’s robust financial performance. The increase was mainly due to higher revenue from loans. During the same period, the bank strategically reduced its investments in local government bonds by 8% to 108.5 billion shillings. Chemutai Murgor, the CFO, explained during an investor briefing in Nairobi that the bank reinvested these funds into loans and advances for customers, which grew by 17%, supported by increased customer deposits.

Murgor reported that net interest income rose by nearly a third while overall revenue increased by almost a quarter.

 Key factors contributing to this positive outlook include:

A stabilising local currency.

Decreasing inflation.

The reopening of international debt markets for frontier economies like Kenya.

Ngari emphasised, “These are all encouraging signs,” underscoring the bank’s strategic positioning to leverage these favourable conditions. The bank’s focus on digital transformation and innovative financial solutions, which have already demonstrated a significant positive impact, is expected to enhance its performance in the coming year. This emphasis on the bank’s successful digital transformation is designed to inspire confidence in the audience about its future performance.

Keywords–Standard Chartered Kenya:Pre-tax Profit Growth:Digital Transformation:Economic Outlook 2024