Don't Miss


Home   >   Business   >   Industries   >   Banking   >   Guaranty Trust Bank begins Kenya operations

Guaranty Trust Bank begins Kenya operations

By on February 5, 2014

Guaranty Trust Bank will open its outlets over the weekend and even deliver cash at home for Kenyan depositors, its chief executive said.

The bank is aiming to win market share in one of the toughest markets for foreigners in Africa.

The bank, which is also listed in London, joins Nigerian lenders such as Ecobank and UBA which have also extended their operations to Kenya.

The bank bought a 70 per cent stake in Kenya’s Fina Bank for $100 million last year to give it access to the wider east Africa market including Tanzania.

“When you come into any market you have to bring something different,” Segun Agbaje said at a news conference.

The bank has already injected $30 million into its new Kenyan business. It also plans to invest in several other areas including information technology systems.

The bank plans to grow its assets to close to those of the biggest lenders such as Equity Bank and Barclays Kenya.

The bank will achieve its growth through focusing on existing businesses like personal lending and seizing new opportunities like oil and gas.

“There are about six banks which are considered Tier 1. We are going to move this bank from where it is to just under the Tier 1 banks over a five-year period,” Agbaje said.

Fina was ranked the 19th largest bank in Kenya out of 43 in 2010.

Guaranty plans to expand into Tanzania in the next three years, Agbaje said.

It already operates in Uganda and Rwanda.

 

[Punch]