Equity reports 5% profit drop to Sh43.7 billion in 2023

Equity bank profits for the year ending December 2023 have declined by five per cent to Sh43.7 billion compared to Sh46 billion the previous year.

The lender attributes the drop to its strategic move to maintain the loan interest charge at 13 per cent during the year to December.

This is despite the nod to implement the risk based lending rate which would have pushed the cost of borrowing up to about 24 per cent.

"We sought to endeavour with our zeal for prudent provision, and cushioning our consumers amidst the tough times that prevailed last year with the depreciating local currency and geopolitical tensions that substantively affected supply chains," the Group CEO James Mwangi said.

The lender's board approved a record dividend of Sh4 per share.

More to follow...