Press Releases & Announcements Category: Press Release

Nairobi, 20th November 2025 — I&M Group PLC has posted a 26% year-on-year increase in Profit Before Tax (PBT) to KES 17.8 billion for the third quarter of 2025, up from KES 14.1 billion in the same period last year. Profit After Tax (PAT) also rose by 27% to KES 12.7 billion, reflecting sustained earnings and momentum across the business.

This performance reflects the Group’s growth strategy gaining traction across its regional markets, with a continued focus on customer-centric innovation, operational efficiency, and regional expansion.

The Group’s regional subsidiaries contributed 23% to the overall PBT, underscoring the strength of its diversified footprint across East Africa and Mauritius.

Key Financial Performance Highlights

Balance sheet highlights

• Total Assets rose by 13% to KES 640 billion.
• Loan portfolio expanded by 7% to KES 302 billion.
• Customer deposits increased by 10% to KES 456 billion, driven by growth in both CASA and term deposits.
• Net Non-Performing Loans declined by 27% year-on-year to KES 10 billion, reflecting prudent risk management.

  Income Statement Performance

• Operating income grew by 20%, supported by a 21% rise in both Net Interest Income and non-funded income.
• Loan loss provisions stood at KES 6.7 billion, up from KES 5.5 billion, as the Group maintained a disciplined approach to asset quality.
• Operating expenses (excluding provisions) increased by 14% to KES 19.1 billion, reflecting strategic investments in technology, talent, and branch expansion.

Following the strong financial and operational performance recorded for the year to date, the Board of Directors has approved an interim dividend of KES 1.50 per share, representing a 15% increase from the KES 1.30 declared in the same period in 2024, underscoring the Group’s commitment to delivering sustained value to its shareholders.

I&M Bank Kenya

I&M Bank Kenya delivered a 26% year-on-year increase in Profit Before Tax, driven by a 21% uplift in total operating income. The Bank’s total assets grew by 8%, supported by a steady rise in customer deposits of 10% to KES 439 billion and loans and advances growth of 2% to 218 billion, underscoring the Bank’s strong financial position.

During the period under review, the Bank’s continued focus on delivering relevant financial solutions for the Retail and MSME segments led to double-digit customer growth and a notable surge in brand awareness, rising from 21% to 34%, the fastest gain recorded in the sector.

The Bank continues to demonstrate its customer first approach and has maintained an NPS score of above 70%.  Despite a challenging macroeconomic environment, the Bank’s NPL ratio remains below industry average.

Commenting on the results, Mr. Kihara Maina, Regional CEO & Interim CEO of I&M Bank Kenya, said, “Our performance demonstrates the strength of our strategy, the confidence of our stakeholders and the trust our customers continue to place in us. We remain committed to delivering sustainable growth while elevating customer experiences through digital-first solutions for individuals and businesses such as Solo Biz and I&M FX Direct, designed to empower businesses across Kenya. We continue to offer free Bank to Mobile Money transfers as well as a one-stop mobile banking platform – the I&M On-the-Go App.”

Across the country, I&M Kenya continued to deepen customer connection through digital-first solutions, targeted customer campaigns such as Shinda Milioni campaign, Card Reward programs as well as MSME business forums and business trips. In Q3 2025, 78% of customers were digitally active, with 81% of transactions occurring outside branches demonstrating the Group’s commitment to convenience, inclusion, and customer-led transformation.

Regional Performance Highlights

I&M Rwanda reported a 5% increase in operating income and a 21% growth in Profit Before Tax for the period under review. This strong performance was fueled by increased economic activity in the country with loans and deposits growing by 28% and 20% respectively. When measured in local currency, loans and deposits recorded an impressive growth of 38% and 29% respectively, year-on-year, driving increase in Net Interest Income.

I&M Tanzania, recorded a 40% growth in operating income to KES 4.5 billion and a 35% increase in operating profit, driven by recoveries and higher net interest income. Total assets and loans and advances grew by 26% and 22% respectively (14% and 10% in local currency respectively), while customer deposits rose by 16% (5% in local currency).

I&M Uganda recorded a marginal decline in operating income. However, total assets grew by 25% year-on-year to KES 46 billion (in KES terms), supported by notable growth of 21% in both the loan and deposit book. In local currency, loan and deposit book grew by 15% and 14% respectively.

Bank One, Mauritius, the Group’s Joint Venture investment in Mauritius, recorded a 4% year-on-year increase in profit before tax in local currency. Net loans and advances declined by 4%, while total assets and customer deposits grew by 27% and 32% respectively in KES terms (26% and 31% growth respectively in local currency), underscoring the Bank’s resilience and adaptability in a competitive market.

Reflecting on the Groups’ performance, Mr. Kihara added, “I&M Group’s performance this quarter is a reflection of our disciplined execution, continued investment in innovation, and unwavering commitment to our customers. We are seeing our footprint and segment expansion translate to tangible value creation, where each market is now a distinct engine of growth for the Group. As we advance our ambition to become East Africa’s leading financial partner for growth, we remain focused on delivering solutions that empower businesses and individuals to thrive, and we will continue to build on this momentum to create sustainable value across all the markets we serve.”

As the financial landscape becomes increasingly digital, borderless, and inclusive, I&M Group is well-positioned to lead this transformation, delivering relevant, customer-first solutions, that offer convenience, flexibility, and security to our customers.

-ENDS-

About I&M Bank Limited

I&M Bank is a leading Tier 1 commercial bank in Kenya, Since its inception in 1974, the Bank has grown steadily to become a leading commercial bank offering a full range of Corporate, Business and Personal financial services solutions.

I&M Bank is wholly owned by I&M Group PLC which is listed on the Nairobi Securities Exchange. I&M Bank prides itself on its strong values and key strengths of innovative service and best customer experience. Through these pillars, I&M Bank aspires to be Kenya’s leading Financial Partner for Growth through provision of innovative and customer driven financial services solutions for its target segments. For more information visit www.imbankgroup.com

About I&M Group PLC

I&M Group has a long-standing presence in the Kenyan market with presence in banking, insurance and real estate. The Group offers a full range of banking and financial services covering corporate, business and personal banking, wealth management, bancassurance and advisory services with presence spanning across 5 countries in Kenya, Uganda, Tanzania, Rwanda and in Mauritius through a joint venture with CIEL Group where it trades as Bank One.

I&M Group PLC is regulated by the Central Bank of Kenya, Capital Markets Authority of Kenya and the Nairobi Securities Exchange.

For more information visit www.imbankgroup.com

Media Contact:
Mary Githinji
Group Head of Marketing & Communication
[email protected]

Nairobi, 18th August 2025 – I&M Group PLC has today announced a 34% increase in its Group Profit Before Tax (PBT) for the first half of 2025, reaching KES 11.7 billion, a significant rise from the KES 8.7 billion recorded in the same period in 2024. The performance has been driven by strong operating revenues across all its markets, demonstrating the sustained success of its regional diversification strategy. The Group’s regional subsidiaries sustained a strong growth trajectory, contributing 24% of the Group's overall Profit Before Tax. This highlights the increasing strength and synergy of its operations in Kenya, Rwanda, Tanzania, Uganda, and Mauritius. I&M Group Regional CEO Mr. Kihara Maina noted that: “The subsidiary markets’ contribution of 24% to the Group’s Profit Before Tax underscores the success of our regional expansion strategy. By leveraging cross-market collaboration and investing in digital innovation, we are building a resilient and diversified business that consistently delivers value to our shareholders and customers across East Africa.”

Group Key Financial Performance Highlights – H1 2025

Key Financial Performance Highlights – H1 2025

Balance Sheet Highlights

• Total assets grew by 4% year-on-year to close at KES 589 billion.
• The loan portfolio grew by 2% to close at KES 290 billion.
• Customer deposits increased by 2% to KES 429 billion.
• Net Non-Performing Loans declined from 14.7 billion to 10.9 billion, reflecting prudent credit risk management.

Income Statement Highlights

• Operating income grew by 21%, primarily driven by a 24% increase in Net Interest Income.
• Loan loss provisions stood at KES 4.1 billion, up from KES 3.5 billion in the same period last year, underscoring continued prudence in asset quality management.
• The Group’s operating expenses, excluding provisions, rose by 11%, driven by continued investment in technology, people, and branch expansion

I&M Bank Kenya

I&M Bank Kenya, the Group's anchor business, reported a 31% increase in Profit Before Tax, resulting from robust growth in Net Interest Income. Additionally, the Bank posted an operating income growth of 21% year-on-year. The Bank continues to lead in customer acquisition with over 110,000 customers onboarded in 2025 while maintaining industry leading customer satisfaction levels of 81%.

Commenting on the results, Mr. Gul Khan, I&M Bank Kenya CEO, said, “Our half-year results reflect our continued commitment to delivering relevant solutions and a superior customer experience. The strong double-digit growth across both our retail and corporate segments is a testament to the trust our customers place in us. We will continue to invest in both our physical channels and digital transformation as we expand our reach to serve more Kenyans, empowering them to achieve their financial goals.”

I&M Bank Kenya has not only received several accolades: Best Bank in Retail, Best Bank in Product Innovation and Best Bank in Product Marketing, at the Think Business Awards, the Founder and Chairman Emeritus, Mr. S.B.R. shah was also awarded for his distinguished leadership and decades of contribution to building a resilient, customer-focused, and forward-looking institution. The Bank has also been recognized as a Top Performing POS Payment Partner in Kenya by Mastercard, a true testament of its customer - centricity and contribution towards driving financial inclusion and building lasting trust with the public.

Strong Regional Growth

I&M Group’s regional subsidiaries continued to be a significant driver of profitability, with 86% of customers across the region now being digitally active up from 78% as at close of 2024. Over 8.5M customers have been impacted either directly or through our ecosystem partners.

• I&M Bank Rwanda: Reported a 45% increase in Profit Before Tax in local currency, driven by increased economic activity.
• I&M Bank Tanzania: Recorded a Profit Before Tax of KES 582 million, up from KES 408 million in 2024, supported by strong asset growth.
• I&M Bank Uganda: Achieved a 23% increase in Profit Before Tax, with total assets growing from UGX 974 billion in June 2024 to UGX 1.1 trillion in June 2025.
• Bank One (Mauritius): The joint venture with CIEL Group experienced a 25% growth in Profit Before Tax.

Outlook

The Group remains optimistic about its performance for the remainder of the year, anchored on its strong regional presence and strategic investments in digital innovation to drive inclusive and sustainable financial growth for their customers across East Africa.

-ENDS-

Notes to Editor

About I&M Bank Limited

I&M Bank is a leading Tier 1 commercial bank headquartered in Kenya, with a growing national presence. Since its inception more than five decades ago, the Bank has evolved into a full-service commercial bank offering a comprehensive range of corporate, business, and personal financial solutions. I&M Bank is wholly owned by I&M Group PLC, which is listed on the Nairobi Securities Exchange.

About I&M Group PLC

I&M Group PLC has a long-standing presence in the Kenyan market with interests in banking, insurance, and real estate. The Group offers a full range of financial services covering corporate, business, and personal banking, wealth management, and bancassurance, with a presence spanning five countries: Kenya, Uganda, Tanzania, Rwanda, and Mauritius (through a joint venture with CIEL Group). I&M Group PLC is regulated by the Central Bank of Kenya, the Capital Markets Authority of Kenya, and the Nairobi Securities Exchange.

For more information, please contact:

Mary Githinji

Group Head of Marketing and Communications [email protected] +254 725 632 547

Nairobi, 27th May 2025 - Following a strong full-year performance in 2024, I&M Group PLC posted a 16% growth in Profit Before Tax (PBT) for the first quarter of 2025, reaching KES 5.9 billion, up from KES 5.1 billion in Q1 2024. This sustained growth reflects the Group’s effective strategic execution, harnessing cross-market synergies and reinforcing its commitment to creating long-term value across the region.

Regional subsidiaries maintained a solid performance, contributing 26% of the Group’s total PBT, up from 24% in Q1 2024. “We are seeing strong momentum across our subsidiary markets, with each business delivering improved performance and contributing more meaningfully to the Group’s Profit Before Tax, a clear indication that our regional diversification strategy is bearing fruit,” said Kihara Maina, the Group’s Regional CEO.

I&M’s group results showed that revenues from cross-border business have grown markedly, underscoring the power of regional collaboration and shared innovation. “By harmonising our digital platforms and accelerating automation, we are unlocking value across all our markets,” Kihara added.

Group Key Financial Performance Highlights – Q1 2025

Balance Sheet Performance

• Total assets grew by 7% year-on-year to close at KES 568 billion.
• Loan book rose modestly by 1%, closing at KES 294 billion.
• Customer deposits increased by 6% to KES 407 billion, driven by growth in both CASA (Current Accounts and Savings Accounts) and term deposits.
• Net Non-Performing Loans declined by 11% to KES 13 billion, reflecting improved credit risk management.

Income Statement Performance

• Operating income grew by 12%, driven primarily by a 12% rise in Net Interest Income.
• Operating expenses (excluding provisions) rose by 12%, attributed to ongoing investment in technology, people and branch expansion in Kenya and Rwanda.
• Loan loss provisions stood at KES 1.6 billion, up from KES 1.5 billion in Q1 2024, underscoring continued prudence in asset quality.

I&M Bank Kenya Financial Performance Highlights

• Profit Before Tax: 8% growth supported by higher Net Interest Income.
• Operating Income: Grew by 10% year-on-year.
• Customer Deposits closed at KES 292 billion, a 2% increase year on year.
• Net Non-Performing Loans declined by 9% to KES 11 billion, reflecting improved credit risk management.
• Ecosystem Partnerships: We’ve impacted over 3 million lives, particularly MSMEs and women-led enterprises.
• The Bank strategically deepened its presence in high-growth sectors like oil and gas and leasing where it has grown its loan book to KES 12 billion and KES 1.5 billion respectively.
• Branch Network Expansion: The Bank embarked on an ambitious branch expansion plan with 23 new outlets opened in the past two years spread over 24 counties.

Adding to this success, the Bank celebrates their Founder and Chairman Emeritus Mr. S.B.R. Shah, MBS who has been honoured with the 2025 Lifetime Achievement in Banking Award by Think Business Africa in recognition of his visionary leadership and enduring contribution to East Africa’s financial sector.

In Kenya, I&M Bank stood out at the 2025 Think Business Banking Awards, being recognised in 10 out of 14 categories, including Best Retail Bank, Best Bank in Product Innovation, and being Runner-Up for Best Corporate Bank. The Bank has broadened its focus beyond corporate banking while continuing to demonstrate clear leadership in its legacy segments.

“Our strong performance reflects not only the resilience of our strategy, but the deepening relevance of our offerings to everyday Kenyans. In just two years, we more than doubled our customer base with a 134% year-on-year increase in new-to-bank acquisitions. Customer transactions more than doubled, a clear indicator that more Kenyans are choosing I&M Bank as their primary banking partner,” said Mr. Gul Khan, CEO, I&M Bank Kenya.

This shift has been driven by its iMara Strategy, rooted in customer insights, targeted segmentation and innovation. Through ecosystem partnerships, branch expansion, and digital platforms like the award-winning I&M Bank On-The-Go (OTG) app, I&M Bank is now delivering seamless digital banking experience and relevant solutions to all customer segments from salaried individuals to sole proprietors and MSMEs.

Director of Retail and Business Banking Shameer Patel remarked, “Winning across diverse categories affirms our strategic intent: we are building a bank that is inclusive, digitally agile and deeply attuned to the evolving needs of Kenyans. We set our sights on new frontiers and the results speak for themselves.”

Strong Regional Performance

• I&M Bank Rwanda: Profit Before Tax grew by 14% in local currency, driven by increased economic activity.
• I&M Bank Tanzania: Reported Profit Before Tax of KES 324 million, more than doubling from KES 142 million in Q1 2024.
• I&M Bank Uganda: Achieved a 138% increase in Profit Before Tax, with assets growing from UGX 988 billion to UGX 1.1 trillion.
• Bank One (Mauritius): Posted a 13% increase in Profit Before Tax, driven by strong Non-Funded Income (NFI) growth, cost containment and prudence in credit management.

I&M Group PLC Outlook

The Group remains optimistic about its performance trajectory for the remainder of the year. Strategic investments in technology, product innovation and regional expansion will continue to position I&M Group as a leading driver of inclusive financial growth in East Africa.

Press Release

For immediate release

I&M Group Reports a 25% Growth in Profit Before Tax

Nairobi, 26th March 2025 – I&M Group PLC has recorded a Profit Before Tax of KES 20.8 billion for the period ended 31 December 2024, representing 25% growth driven by increased operating income and strategic focus on MSME lending and digital transformation.

The regional financial services provider with operations in Kenya, Mauritius, Rwanda, Tanzania, and Uganda continued to strengthen its market position through its iMara strategy. This strategy has significantly expanded the Group’s MSME portfolio, with MSME customers growing sixfold since 2023 and the related balance sheet more than doubling. Additionally, through its direct efforts and ecosystem partnerships, I&M Group has impacted over 6.3 million lives.

Key Financial Performance Highlights

Balance Sheet Growth:

• The Group total assets grew by 0.3% to KES 581 billion.
• The MSME loan book more than doubled, reinforcing the Group’s commitment to catalysing economic growth and job creation amidst macroeconomic challenges.
• Customer deposits stood at KES 412 billion with strong growth in CASA (Current Accounts and Savings Accounts).

Income and Profitability:

• Group synergies contributed to a 57% increase in revenue year-on-year with total income rising by 20% to KES 51 billion. Net Interest Income grew by 31%. Fees and commission income increased by 16% year-on-year while non interest income reduced marginally by 3% year-on-year.
• The Group’s operating expenses, exclusive of loan loss provisions rose by 16% year-on-year to close at KES 23 billion on account of branch expansion and increased investment in staff and technology.

Commenting on the results, Mr. Kihara Maina, I&M Group PLC Regional CEO, stated: "Our focus on delivering the iMara Strategy has led to remarkable gains in MSME growth, digital banking, and customer expansion. We remain committed to driving financial inclusion and building an ecosystem that supports our customers’ businesses sustainably. We also reengineered the Strategy to focus on sustainability, which led to the adoption of a Groupwide sustainability action plan resting on three pillars: Enabling Last Mile Financial Solutions, Enhancing Quality of Lives, and Building Sustainable Businesses."

I&M Bank Kenya

I&M Bank Kenya remains the Group’s key business, contributing 71% of overall profit before tax. The Bank posted a 16% year-on-year growth in revenue and a 17% increase in Profit Before Tax. The lender’s customer base doubled in two years, 50% of whom were onboarded digitally, reinforcing the Bank’s commitment to a tech-driven model and increasing digital transactions by 132%.

The Bank embarked on an ambitious branch expansion plan with 21 new outlets opened in the past two years. Additionally, through relevant product innovation and brand building, brand awareness grew from 20% to 34%.

The Bank has also seen a significant growth in the adoption of its digital services, with 95% of customers being digitally active.

I&M Bank Kenya’s CEO, Mr. Gul Khan, remarked: "Our strategy of delivering digital products and services that are relevant for customers has yielded strong growth. Our customer base has doubled in 2 years. Key innovations such as Ni Sare Kabisa free transfers to M-PESA and Airtel Money for individuals and small businesses; digital short-term loans; goal based savings and the largest unsecured personal loan of up to KES 10 million have driven customer adoption. We have continued to invest heavily in our App and Online Banking to enhance customer experience. These efforts resulted in I&M Bank being recognised as the top bank in Kenya for consumer sentiment on social media by DataEQ."

Regional Expansion and Growth

I&M Group’s regional subsidiaries contributed 29% to overall profitability compared to 24% in the prior year. Non-branch transactions accounted for 8 of all transactions with 78% of customers across the region being digitally active.

I&M Bank Rwanda:
Reported a 57% increase in Profit Before Tax, driven by increased economic activity and strong income growth driven by customer acquisition and balance sheet growth.

I&M Bank Tanzania:
Recorded a Profit Before Tax of KES 1.06 billion, up from KES 309 million in 2023, supported by asset growth and recoveries.

I&M Bank Uganda:
Achieved a 78% increase in Profit Before Tax, with total assets growing by 21% in local currency to cross the UGX 1 Trillion mark.

Bank One (Mauritius):
Operating income for the joint venture with Ciel Group, grew by 5% reflecting prudent balance sheet growth; however, Profit Before Tax declined by 27% due to increased loan loss provisions.

I&M Group Chairman, Mr. Oliver Fowler, stated: “Following this strong performance, the Board of Directors has proposed a KES 1.70 final dividend, which, together with the interim dividend of KES 1.30 per share, totals KES 3.00 per share - a 17% increase from KES 2.55 per share in the prior year.”

Commitment to Sustainable Growth

I&M Group remains committed to fostering sustainable financial inclusion through strategic investments in MSMEs, digital banking and customer-centric solutions. The Group continues to expand its footprint, ensuring that banking services remain relevant and accessible across its markets.

-ENDS-

Notes to Editor

About I&M Bank Limited

I&M Bank is a leading Tier 1 commercial bank headquartered in Kenya, with a growing national presence currently extending to 62 branches spread over 22 counties. Since its inception more than 5 decades ago, the Bank has grown to a full-service commercial bank offering a full range of corporate, business and personal financial services solutions.

I&M Bank is wholly owned by I&M Group PLC, which is listed on the Nairobi Securities Exchange. I&M Bank prides itself on its strong values and key strengths of innovative service and best customer experience. Through these pillars, I&M Bank aspires to be Kenya’s leading Financial Partner for Growth through provision of innovative and customer-driven financial services solutions for its target segments.

For more information visit www.imbankgroup.com

I&M Group PLC

I&M Group has a long-standing presence in the Kenyan market with presence in banking, insurance and real estate. The Group offers a full range of banking and financial services covering corporate, business and personal banking, wealth management, bancassurance and advisory services with presence spanning across five countries in Kenya, Uganda, Tanzania, Rwanda and in Mauritius through a joint venture with CIEL Group (Bank One).

I&M Group PLC is regulated by the Central Bank of Kenya, Capital Markets Authority of Kenya and the Nairobi Securities Exchange.

For more information visit www.imbankgroup.com

I&M Bank Media Contact

Seline Awuor

AG, Group Head of Marketing

[email protected]

+ 254 708 858 944

The Board of l&M Group PLC is pleased to announce the appointment of Ms. Brenda Wangari Gichuki, also known as Ms. Brenda Wangari Mugo, as an Independent Director on the Board with effect from 29th November 2024. Ms. Mugo is an experienced finance professional with over 27 years' experience in Corporate and Investment Banking, with a focus on relationship management for various client segments including financial institutions. Ms. Mugo recently transitioned into business consulting where she provides financial crime compliance advisory and anti­money laundering consultancy to financial institutions. Prior to this, until 2022, she was the Executive Principal, Head of Financial Institutions at Standard Chartered Bank Nairobi. Ms. Mugo begun her career in Citibank N.A. Kenya where she worked for 18 years up to 2014, rising through the ranks to the position of Vice President­Head of Financial Institutions East Africa. Ms. Mugo holds a Master of Arts, Leadership in Development Finance from Frankfurt School of Finance & Management, Germany and a Bachelor of Arts in Management from Hood College, USA. She is also a Board member, NED Peponi Securities Investment Ltd and NED lmani Capital Ltd. Brenda also sits on the Africa Secretariat of the Global Coalition for the Fight against Financial Crime (GCFFC). The Board is pleased to welcome Ms. Mugo to l&M Group PLC.

Nairobi, 25th March 2024: I&M Group PLC has recorded a Profit After Tax of KES 13.3 billion for the year ended 31^st December 2023. 

 

The regional financial services provider with operations in Kenya, Rwanda, Tanzania, Uganda and Mauritius, attributed the 15% growth in its profits to an increase in its operating income.

 

In the context of the Group’s strategic focus, the 2023 performance is a clear affirmation that the iMara2.0 strategy which came to an end in 2023 after a three-year period, has delivered remarkable year-on-year results. The focus on delivering the iMara2.0 strategy over the past three years has seen Return on Equity grow from 10% in 2020 to 15% in 2023. Operating income grew by 20% from KES 36 billion in the previous year to KES 43 billion with 20% of this revenue coming from new strategic initiatives during this phase. 

 

Key Financial Performance Highlights 

 

During the period under review, the Group's balance sheet and income metrics improved with the liquidity and capital ratios remaining strong.

 

2023 Balance sheet highlights

 

• The Group’s balance sheet grew steadily with Total Assets increasing by KES 142 billion to KES 580 billion.
• The loan portfolio grew by 30% to KES 311 billion partly attributed to the extension of retail lending through the Bank’s digital platforms with a net non-performing loan ratio at 5% as of 31^st December 2023. 
• Customer deposits closed at KES 417 billion, recording a 33% increase year- on-year, largely attributed to growth in CASA (Current Accounts and Savings Accounts).

 

 

Income statement highlights

 

• Growth in Operating Income was driven by a 25% increase in Net Interest Income on the back of rising interest rates and a 10% growth in Non-Interest Income for the period under review. The Non-Interest income growth is attributed to growth in income from banking transactions and foreign exchange trading. 
• The Group’s operating expenses, exclusive of loan loss provisions rose by 26% year-on-year to close at KES 20 billion on account of branch expansion, inflationary pressures and as a result of increased investment in staff and technology.
• The Group’s share of profit from its joint venture in Mauritius, Bank One Limited recorded a year-on-year growth of 82% to close at KES 1.2 billion. 

 

Commenting on the results, Mr. Kihara Maina, I&M Group PLC, Regional CEO noted: "Building upon the success of our recently concluded iMara 2.0 strategy, we have witnessed remarkable achievements in both profitability and growth in our various business units. As we venture into the next chapter with our iMara 3.0 strategy, our primary aim is to sustain the growth through continued focus on enhancing our digital solutions platforms and building an ecosystem to support our customers’ businesses, as we seek to become Eastern Africa’s Leading Financial Partner for Growth."

 

I&M Bank Kenya

I&M Bank Kenya posted an operating income growth of 14% year on year, 7% increase in operating profit and a 1% drop in Profit Before Tax, due to higher loan loss provisions. 

 

In the prior year, the successful implementation of our strategy resulted in significant growth in new customers, deposits, primarily Current and Savings Accounts (CASA), and customer loans. Additionally, through relevant product innovation and brand building, brand awareness grew from 5% to 20%. 

 

As part of the strategy, the Bank has also seen a significant growth in the adoption of its digital services, with 93% of customers being digitally active. 

 

Commenting on I&M Bank Kenya’s performance, I&M Bank’s CEO Mr. Gul Khan said: "Throughout the year, our primary focus was on delivering new and relevant financial solutions designed to solve problems for Kenyans which resulted in a 27% increase in our total customers and over 100% increase in digital transactions. We saw significant growth driven by innovative solutions such as the ongoing Ni Sare Kabisa free transfers to M-PESA and Airtel Money and the largest unsecured personal loan of up to KES 10 million. Our commitment to customer-centricity remains firm, as evidenced by our countrywide branch expansion which has seen us open 8 branches, with plans to open 12 more, to be closer to our customers. Furthermore, we will continue to launch new and relevant solutions for our customers as we celebrate 50 years of I&M Bank in Kenya."

 

Regional growth

The Group’s regional subsidiaries continued to show steady growth, contributing 24% to the Group’s overall profitability. For the period ending 31^st December 2023, 78% of I&M Group customers across the region were digitally active. Non-branch transactions also increased to 81%.

I&M Bank in Rwanda reported a 24% increase in Profit Before Tax for the period under review. The Bank’s strong performance was driven by increased economic activity in the region, with loans and deposits growing by 48% and 39% respectively, which led to growth in Net Interest Income and Non-Funded Income.

In Tanzania, the Bank recorded a Profit Before Tax of KES 309 million up from a loss of KES 689 million in 2022 on the back of strong growth in total assets of 47%, with loans and deposits growing by 45% and 55% respectively. 

I&M Bank Uganda posted strong growth in operating income of 41%. Total assets reported a 44% year on year growth to close at KES 38 billion, with growth in the loans and deposits book at 53% and 38% respectively.   

 

The Group’s joint venture investment in Mauritius, Bank One, recorded a growth of 80% in Profit Before Tax year on year, driven by the growth of the loan portfolio as well as higher non-interest income.

50 Years of I&M Bank 

 

I&M Bank celebrates its golden jubilee this year marking 50 glorious years since its incorporation in 1974. The entrepreneurial spark of the Founder and Chairman Emeritus, Mr. SBR Shah, MBS ignited a vision of greatness that has seen I&M Bank grow from a community-based lending outfit to a regional financial services Group with presence in 5 countries

-END-

 

 

Notes to the Editor

 

Highlights of iMara 2.0 Strategy

I&M Group has been on a transformation journey since the beginning of 2016, deepening its presence in the Eastern Africa market while also penetrating in key growth segments; iMara 2.0 set the foundation towards being a diversified banking group.

 

A summary of the performance in the 3 years to 2023:

 

Financials

• Return on Equity has grown to 15% from 10% in 2020.   
• Profit Before Tax up from KES 10.9 billion in 2020 to KES 16.7 billion in 2023. 
• 22% of the Group revenue is from new business.  

 

Non-Financials

• The Group’s continues to build a relevant brand evidenced by an enhanced Net Promoter Score of 71% in 2023 from 34% in 2020. Customer numbers went up to 560,000 from 250,000 during the same period. 
• Digitally active customers increased to 78% in 2023 with 81% of the total transactions done through digital channels. The number of transactions increased to 29 million in 2023 from 6.2 million in 2020 with a value of KES 1.2 trillion. 
• The Group employee engagement increased to 78% from 75% in 2020.

About I&M Group PLC 

I&M Group has a long-standing presence in the Kenyan market with presence in banking, insurance and real estate. The Group offers a full range of banking and financial services covering Corporate & Institutional Banking, Personal & Business Banking, Bancassurance, Wealth Management, and Advisory services with presence spanning across 5 countries in Kenya, Uganda, Tanzania, Rwanda and Mauritius through a joint venture with CIEL Group (Bank One). 

 

I&M Bank was founded in 1974 as a financial services company and later converted to a commercial bank. It is now a wholly owned subsidiary of I&M Group Plc, a public company listed at the Nairobi Securities Exchange (NSE). 

I&M Group PLC is regulated by the Central Bank of Kenya, Capital Markets Authority of Kenya and the Nairobi Securities Exchange.  

For more information visit www.imbankgroup.com

I&M Bank Media Contact

Mwihaki Wachira

Group General Manager 

[email protected]

+ 254 719 088 205

 

Nairobi, 23 August 2023: I&M Group PLC increased its operating income by 23% to KES 19.1 billion in the first half of 2023, up from KES 15.6 billion in the same period in 2022. The operating income was boosted by growth in both corporate and retail segments (29% and 28% year on year growth) as it saw its diversification strategy yield fruit.

 

The Tier 1 Bank recorded strong operating revenues across its markets, with regional businesses contributing 27% to its revenue.

 

The Group continues to successfully execute its iMara 2.0 strategy, which is now in its 3rd and final year, focusing on business growth, operational efficiencies, customer centricity and digital transformation. 

 

Key Financial Performance Highlights

Balance sheet highlights

The Group’s balance sheet grew steadily, with total assets crossing the KES 500 Billion mark increasing by 17% over the same period in 2022.

 

The loan portfolio grew by 17% to reach KES 270 billion partly attributable to retail lending through the Group’s digital platforms despite the challenging macro-economic conditions across most of its markets. 

 

Customer deposits closed at KES 357 billion, a 14% increase year on year, during the period as the Group continued focusing on product innovation and digitization. 

 

The Net Non-Performing Loans stood at KES 10 billion, a reflection of the challenging macro-economic environment.

                                                                              

Income statement highlights

The Group’s operating income recorded a strong growth of 23%. The overall profit declined marginally by 2% to KES 7.0 billion because of increase in loan loss provisions, as the Group maintained prudence. 

 

Growth in operating income was driven by a growth of 16% in Net Interest Income and 37% in Non-Interest Income for the period under review. 

 

The Group’s operating expenses, exclusive of loan loss provisions, stood at KES 9.3 billion, an increase of 28% year on year driven by continued investment in technology and people across all jurisdictions. 

 

Commenting on the results, Mr. Sarit Raja-Shah, Group Executive Director, I&M Group PLC, noted: “The Group has ensured adequate funding and sufficient capital buffers to uphold the present growth momentum as we continue to meaningfully impact customers. The rise in the Non-Performing loan book and provisions reflects our cautious approach to portfolio management amid a challenging business environment. As we move ahead, the Group's emphasis remains on expanding our portfolio and enabling our customers to achieve their business goals. 

 

I&M Bank Kenya

I&M Bank Kenya posted an operating income growth of 20% year on year, 17% increase in operating profit and a 6% decline in profit before tax, due to higher loan loss provisions. 

 

The successful implementation of the iMara 2.0 strategy resulted in growth in deposits, primarily Current and Savings Accounts , Customer assets and New-to-Bank relationships. Additionally, through relevant product innovation and marketing, the Bank has registered significant growth in brand awareness from 5% to 20% during the first half of the year.

 

As part of the strategy, the Bank has also seen a significant growth in the adoption of its digital services, with 93.5% of customers initiating their transactions through digital channels leading to the Bank being recognized by Finnovex East Africa for Excellence in Mobile Banking at the prestigious awards. 

 

Commenting on I&M Bank Kenya’s performance, I&M Bank’s CEO Mr. Gul Khan said: 

“In the first half of the year, our focus centered on providing relevant financial solutions designed for Kenyans. This included waiving of Bank to mobile wallet charges with the Ni Sare Kabisa campaign to cushion Kenyans against the high cost of living, the Unsecured Personal Loan of up to Kes 10 Million, Digital Unsecured Lending for personal customers and small businesses and Stock Financing. We take pride in our customer-centricity and plan to roll out several new branches over the next couple of months as we seek to move our financial services closer to our customers ,” said Mr. Khan.

 

Regional growth

Regional subsidiaries of the Group continued to grow steadily, with operating income contribution increasing to 27% from 25% in 2022. For the period ending 30th June 2023, 78.4% of I&M Group customers across the region were digitally active. 

 

I&M Rwanda reported a 15% increase in operating income for the period under review. The Bank’s strong performance was driven by increased economic activity in the region, with loans and deposits growing by 9% and 11% respectively, which led to growth in net interest income and non-funded income.

 

In Tanzania, I&M recorded a 56% increase in operating income to close at KES 1.4 billion and 108% increase in operating profit on the back of strong growth in total assets of 24%. Asset growth was supported by loans growth of 19% while deposits increased by 22%. 

 

I&M Uganda posted strong growth in operating income of 42% and an operating profit of 117%, as it continues integrating into the Group. Total assets reported a 28% year on year growth to close at KES 33 billion, with growth in the loan and deposit book at 42% and 13% respectively.   

 

The Group’s Joint Venture investment in Mauritius, Bank One, recorded a growth of 51% in operating income year on year, driven by the growth of the loan portfolio as well as higher Non-Interest Income.

 

Group Strategy & Outlook for 2023

I&M Group is in the final year of its iMara 2.0 strategy, which has been focused on enhancing its corporate strength while scaling up diversification into retail through an enhanced customer value proposition and building requisite capabilities. 

 

Speaking on the Group’s half year 2023 performance, the Group’s Regional CEO, Mr. Kihara Maina was positive about the Group’s forecast for the second half of 2023 on the back of a robust Group adoption of the iMara 2.0 strategy. 

“As we complete the final year of our iMara 2.0 strategy, we remain confident in the progress we have made in further steering I&M Group as Eastern Africa’s leading financial partner for growth. We shall continue to invest in rolling out solutions that meet our customer needs.  In line with this, plans are ongoing to roll out an end-to-end Trade Finance platform and a Bancassurance system,” said Mr. Maina. 

 

I&M Bank Group recently joined the United Nations Global Compact (UNGC) reaffirming its dedication to its sustainability  initiatives. This significant step aligns with the Group’s iMara 2.0 strategy to embrace sustainability and the UN Sustainable Development Goals (SDGs), thereby aiming to establish a resilient business across its subsidiaries.

 

I&M Group has undertaken various initiatives to reduce its carbon footprint, ensuring that sustainability remains at the core of its operations. The Group places particular emphasis on environmental responsibility, taking a proactive approach in identifying opportunities to achieve net-zero impact. This includes a focus on digital banking, transitioning to green energy, green financing products, and adopting green buildings. Notably, the recently inaugurated green headquarters in Rwanda serves as the lender's second green building after 1 Park Avenue in Nairobi.

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Notes to the Editor 

 

About I&M Group Limited

 

I&M Group PLC is a leading Regional Banking Group headquartered in Kenya, with a growing regional presence currently extending to Mauritius through a joint venture with Bank One, Tanzania, Rwanda, and Uganda. Since its inception in 1974, the Bank has evolved from a community financial institution to a publicly listed Kenyan-based regional commercial banking Group offering a full range of Corporate, Business, Premium and Personal Banking financial solutions. 

 

I&M Group prides itself on its strong values and key strengths of innovative service and strong customer relationships and through these pillars, I&M Group aspires to be Eastern Africa’s  Leading Financial Partner for Growth through provision of innovative and market driven financial solutions for its target segments.

 

For more information visit www.imbankgroup.com   

 

I&M Group Media Contact

 

Mwihaki Wachira

Group General Manager, Marketing & Communication 

[email protected] 

+ 254 719 088 205

Michael turner The Board of I&M Group PLC ('the Company') announces the retirement of Mr. Michael Turner as a Non-Executive Director on the Board with effect from 1st August 2023 upon completion of his nine (9) year tenure. Mr. Turner served as Chairman of the Board Nomination, Remuneration & Governance Committee and a member of the Board Audit & Risk Management Committee until his retirement. During his tenure, Mr. Turner made significant contributions to the growth and success of the Company through his valuable counsel to the Board particularly in the areas of strategy, investments, governance, audit and finance. The Board of I&M Group PLC wishes to sincerely thank Mr. Turner for his invaluable contribution to the Company, unwavering commitment, and steadfast support during his tenure on the Board and wishes him every success in his future endeavors. Mr. Naval Sood The Board of I&M Group PLC is pleased to announce the appointment of Mr. Naval Sood as a Non-Executive Director on the Board with effect from 15th August 2023. Mr. Sood is an experienced corporate finance professional with over 40 years' experience in mergers & acquisitions (particularly in the financial services sector), corporate finance, capital market transactions design and implementation, management consulting and audit. He is a thought leader in financial services and capital markets developments in sub-saharan Africa and has authored several presentations, articles and press publications and served on committees developing Kenya's capital market regulatory framework. Mr. Sood recently founded AstuteLogic Advisory Limited, a boutique advisory services firn.. Prior to this, until 2022, he was with Stanbic Bank Kenya investment banking division for 11 years where he held a senior role as Head of Corporate Finance, East Africa and led teams that helped design and deliver some of the largest and most complex merger and acquisition and capital market transactions in East Africa. Mr. Sood holds a Master's in Business Administration (MBA) from London Business School and is a Certified Public Accountant (CPA-K) and Fellow of the Association of Chartered Certified Accountants (ACCA). Mr. Sood brings on board a wealth of knowledge and expertise and the Board is pleased to welcome him to I&M Group PLC.

The Board of I&M Group PLC ('the Company') hereby announces the resignation of Mr. Suleiman Kiggundu Jr. as a Director of the Board with effect from 15th June 2023. Mr. Kiggundu has served as a Director on the Board since 2018 as well as Chairperson of the Board Strategy Steering Committee. During his tenure, Mr. Kiggundu's extensive leadership experience was instrumental in overseeing execution of the Group's strategy across the region. Mr. Kiggundu will continue in his role as Chairman of the Board of I&M Bank (Uganda) Limited. The Board takes this opportunity to sincerely thank Mr. Kiggundu for his insightful and invaluable contributions to the Board as well as his leadership and guidance on strategic matters and wishes him the very best for the future.   BY ORDER OF THE BOARD 30th June 2023 DISCLAIMER: This announcement has been issued with the approval of the Capital Markets Authority pursuant to the Capital Markets (Securities)(Public Offers, Listings and Disclosures) Regulations 2002. As a matter of policy, the Capital Markets Authority assumes no responsibility for the correctness of the statements appearing in this announcement. I&M Group PLC is regulated by the Central Bank of Kenya and the Capital Markets Authority

The Board also wishes to announce the appointment of Mr. Oliver Merrick Fowler as Non-Executive Director and Chairman of the Board with effect from 13th June 2023. Mr. Oliver Fowler is a qualified Kenyan Advocate and an English Solicitor. He has retired from full-time legal practice and was a partner at Kaplan & Stratton Advocates for over 37 years. His work encompassed commercial work, particularly financial, corporate, and taxation matters. He has been extensively involved in project finance, capital markets, banking, and foreign investment sectors. He holds an LLB from the University of Bristol and was admitted to the Kenyan Bar in 1979. Mr. Fowler is the immediate former Chairman of I&M Bank Limited a role he has served well for the past two years. Prior to that, Mr. Fowler served as a Director on the Board of I&M Group Plc. He currently serves as Chairman on the Board of REA Vipingo Plantations and serves on the boards of several companies. The Board congratulates and welcomes Mr. Fowler back to the Board and wishes him all the best in his new role. BY ORDER OF THE BOARD 15th June 2023