National Bank of Kenya (NBK) has announced it posted a net profit of Sh828 million for the financial year ending December 31, 2022.

NBK maintained a strong operational performance and reported an operating income growth of 13 per cent to Sh11.7 billion compared to Sh10.2 billion posted in 2021.

The bank attributed its impressive growth in revenue to both its net interest income and non-funded income.

In the period under review, NBK increased its net interest income by 10 per cent to Sh9.1 billion and this was majorly attributed to higher lending by the financial institution.

The bank also experienced a 29 per cent increase in its non-funded income stream to Sh2.6 billion on the back of growth from new businesses such as bancassurance and trade finance.

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“Despite a challenging operating environment characterized by slowdown in business activity in an election year, rising inflation, currency pressures and geopolitical risks that affected both the global and local economy, we delivered good results, demonstrating our continued strategic focus to deliver innovative and bespoke financial solutions to various customer segments,” said NBK Managing Director George Odhiambo.

Similarly, net loans and advances grew 6 per cent to Sh71 billion from additional lending to critical economic sectors like agribusiness, building and construction and manufacturing.

George Odhiambo. PHOTO | COURTESY

In the period, total operating expenses grew to Sh8.6 billion, an 11 per cent surge from the earlier year, largely driven by more investments in technology and strategic bank projects.

NBK’s total assets stood at Sh143 billion and this was largely driven by customer deposits and investment securities.

“we are in a strong position to continue supporting our customers as a reliable financial partner in order to achieve their aspirations,” said Odhiambo.

He added, “Our focus is to invest in and grow market-leading businesses as well as expand into new strategic areas to provide innovative and bespoke financial solutions to our customers.”