KCB named Kenya’s safest bank in new global survey

Kenya Commercial bank in Nairobi. FILE PHOTO | NMG

By ELIZABETH KIVUVA
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Summary

• The 29th annual World’s Safest Banks ranking recognises the KCB among 14 African banks in the list consisting of lenders from 112 countries.
• KCB was the only bank in Kenya that made the list of safest banks globally.
• The Safest Banks by Country were selected through an evaluation of long-term foreign currency ratings — from Moody’s, Standard & Poor’s and Fitch — and the total assets of the 1,000 largest banks worldwide.

KCB Group has been named as the Safest Bank in the country by Global Finance rankings.

The 29th annual World’s Safest Banks ranking recognises KCB among 14 African banks in the list consisting of lenders from 112 countries.

KCB was the only bank in Kenya that made the list of safest banks globally.

The Safest Banks by Country were selected through an evaluation of long-term foreign currency ratings — from Moody’s, Standard & Poor’s and Fitch — and the total assets of the 1,000 largest banks worldwide.

The agencies ratings reflect the position in loss-absorbing capital buffers, possible risks in relation to asset quality and profitability and adoption of stronger resolution plans in the event of bank failure.

KCB was also ranked at position 667 globally in The Banker’s Top 1,000 World Banks ranking for 2020, climbing 40 places in the survey that shows stabilisation in the finances of the majority of African major lenders.

The performance is an improvement from position 717 last year in the ranking, which tracks the health and wealth of the global banking sector.

In 2018, KCB was ranked 809.

KCB was rated number one in eastern Africa and was top 10 among African banks in key parameters such as liquidity, growth, profitability, operational efficiency and soundness, reaffirming its strong credentials.

The survey analysed close to 2,000 financial institutions globally, based on 2019 full-year financial results.

Global Finance said KCB’s improved ranking is due to its strong capital base, which is well within both internal and regulatory limits, solid business performance and a well-established corporate and retail franchise