I&M Group grows full year profit to Sh8.6billion

NAIROBI, Kenya, March 30-I&M Group has posted Sh8.6 billion in net profits for the full year ended December 2021, a 3 per cent growth compared to Sh8.4 billion posted in the same period in 2020.

The performance was driven mainly by growth in customer deposits and loans as well as continued investment in the digital banking infrastructure and this has positioned the Group to achieve its steady growth trajectory.

Commenting on the results, Daniel Ndonye, Chairman, I&M Group, noted that the Group made key investments during the period under review to help it position itself better for future growth through enhanced resilience initiatives and optimization of its operations.

“Specifically, we accelerated our digital transformation activities across the Group in a bid to deliver value to our customers through provision of innovative financial solutions,” said Ndonye.

The Group continued to provide enhanced shareholder value as well as consistently paying dividends to shareholders amidst the two-year Covid -19 pandemic period, having a 29pc dividend payout from 22pc in the previous year.

 The non-Kenyan banking subsidiaries performed well under difficult operating environments and contributed 13 per cent of the overall profit before tax as compared to 5 per cent in 2020.

During the period under review, the Group completed its acquisition of Orient Bank in Uganda, thereby completing it’s expansion of its footprint in the East African region.

The rebranded I&M Bank (Uganda) Limited contributed 5 per cent of the Group’s total asset base as at December 31 2021.

The Rwandan and Tanzanian subsidiaries made significant investments in their digital solutions during the year, launching digital lending and WhatsApp banking platforms.

The Mauritian joint venture, Bank One, was able to deliver a much-improved performance of 181pc growth in profit after tax during the period under review, as compared to a similar period in 2020.

The Group’s total asset base rose to Sh415.2 billion, reflecting a 16 per cent increase in the loan book and investments in government securities.

I&M Group Executive Director, Sarit Raja Shah remained optimistic for the bank’s performance in 2022, amidst the impact of geopolitical tensions in Russia and Ukraine and the upcoming general elections.

“We have good momentum coming into 2022 and are confident that we can continue to execute on our iMara2.0 strategy. Our focus is now to build on our solid foundation through building resilience against emerging operational, credit and cyber risks, and enhancing our liquidity and capital position,”said Sarit.