Skip to main content

Top Kenyan Banks Have Stronger Cost-to-income Ratios Than Nigeria’s –Report

 

A new report by Moody’s has revealed that top Kenyan banks have stronger cost-to-income ratios than Nigerian banks despite higher retail overheads.

Moody’s added that Kenyan banks' stronger cost-to-income ratios support their profitability and reflect their higher net interest margin.

The report by the financial research firm also compares KCB Bank Kenya Limited, Equity Bank (Kenya) Limited and Co-operative Bank of Kenya Limited with Nigeria's Access Bank Plc, Zenith Bank Plc and United Bank for Africa Plc.

“Kenyan banks' lower cost-to-income ratios primarily reflect their higher net interest margins derived from their greater exposure to retail clients. By contrast, Nigerian banks' lending is focused on lower-margin corporate clients.

“Additionally, funding cost for Kenyan banks stood 100 basis points lower over the same period, reflecting their wider access to retail deposits.

"Over the coming quarters, we expect Kenyan banks to maintain superior profitability to their Nigerian peers owing to higher margins, stronger cost-to-income and lower loan-loss provisioning costs," said Peter Mushangwe, a Moody's Analyst and the report's co-author.

However, Nigerian banks' cost-to-income ratios will likely improve faster as they increase their higher-margin retail exposure while containing costs as they digitalise their operations and limit branch and staff expansion.

Kenya Money News Reports AddThis :  Original Author :  SaharaReporters, New York Disable advertisements : 

from All Content
via

Comments

Post a Comment

Popular posts from this blog

These funny food quotes will make you laugh like crazy

Food is not only an essential part of the daily routine but also the most exciting one. We cannot imagine our life without something yummy. How do you make ordinary eating fun and unforgettable? We bring to your attention amazing food quotes which will definitely make you smile. Image: unsplash.com (modified by author) Source: UGC Are you looking for interesting ideas to entertain your interlocutor while having lunch at work or family dinner? Then this article is definitely for you! Good food quotes Below are food quotes, aphorisms and witty statements. This is an exciting and extraordinary collection of the top "pearls of wisdom" on this topic. Here you can find funny jokes and sayings, intelligent thoughts of philosophers and original words of great thinkers and inspiring statuses from social networks, as well as many other things. The best appetite comes without food. I love calories. They are dаmn tasty. An empty stomach is the Devil's playground. Have bre
Post a Comment
Read more

The Transitional Phase of African Poetry

The Transitional Phase The second phase, which we have chosen to call transitional, is represented by the poetry of writers like Abioseh Nicol, Gabriel Okara, Kwesi Brew, Dennis Brutus, Lenrie Peters and Joseph Kariuki. This is poetry which is written by people we normally refer to as modem and who may be thought of as belonging to the third phase. The characteristics of this poetry are its competent and articulate use of the received European language, its unforced grasp of Africa’s physical, cultural and socio-political environment and often its lyricism. To distinguish this type of poetry we have to refer back to the concept of appropriation we introduced earlier. At the simplest and basic level, the cultural mandate of possessing a people’s piece of the earth involves a mental and emotional homecoming within the physical environment. Poems like Brew’s ‘‘Dry season”, Okara’s “Call of the River Nun”, Nicol’s “The meaning of Africa” and Soyinka’s “Season”, to give a few examples,
Post a Comment
Read more

The pioneering phase of African Poetry

The pioneering phase We have called the first phase that of the pioneers. But since the phrase “pioneer poets” has often been used of writers of English expression like Osadebay, Casely-Hayford and Dei-Anag, we should point out that our “pioneer phase” also includes Negritude poets of French expression. The poetry of this phase is that of writers in “exile” keenly aware of being colonials, whose identity was under siege. It is a poetry of protest against exploitation and racial discrimination, of agitation for political independence, of nostalgic evocation of Africa’s past and visions of her future. However, although these were themes common to poets of both English and French expression, the obvious differences between the Francophone poets and the Anglophone writers of the 1930s and 1940s have been generally noted. Because of the intensity with which they felt their physical exile from Africa, coupled with their exposure to the experimental contemporary modes of writing in F
Post a Comment
Read more