The sports category has moved to a new website.

Kenya’s fastest growing bank shuts down seven branches

Equity CEO, James Mwangi yesterday confirmed the company had shut down seven branches.

___6730118___https:______static.pulse.com.gh___webservice___escenic___binary___6730118___2017___5___24___16___3_Equity_Bank_branch

Continuous loses caused by political and economic upheaval in Africa’s youngest nation has forced the Bank to shut down and save whatever it can save.

Equity chief executive James Mwangi yesterday confirmed the company has shut down seven out of its 12 branches in South Sudan.

“I would like to ask shareholders to treat South Sudan as a dormant company. We are just maintaining a licence and you can’t maintain a licence unless you’re open,” Mr Mwangi said at the company’s annual general meeting (AGM) yesterday.

ADVERTISEMENT

Kenyan financial banks raced to open branches In South Sudan anticipating boom businesses in 2011 when the country attained its independence, for a while business was great  but hell broke loose in 2013  when Rebel leader Riek Machar fell out with Salva Kirr plugging the war torn country into war since then.

Mr Mwangi said that he does not expect the South Sudan unit to make any money for at least two more years.

“I don’t want to say that this is a cow that we bought and then it died. But we’re saying it’s a cow that might not give us milk for the next two years,” he told shareholders.

ADVERTISEMENT

Equity held assets in South Sudan were worth Sh11.1 billion by December 2016, However, the business  has since been operating in the red, recording net interest loss of Sh55 million and a loss before tax of Sh528 million.

Customer deposits also fell 50 per cent in the year to Sh7.4 billion.

Equity, however, does not yet plan to exit the South Sudan market, it has adopted a wait-and-see approach, hoping that the country will stabilise in the near future.

ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

10 African cities with the highest crime index at the start of 2024

10 African cities with the highest crime index at the start of 2024

Machoka at 70: Emotions run high during Citizen TV presenter's birthday [Video]

Machoka at 70: Emotions run high during Citizen TV presenter's birthday [Video]

Diwali 2022: Is Monday a public holiday in Kenya?

Diwali 2022: Is Monday a public holiday in Kenya?

Akothee finally reveals reasons for separating from Omosh 1 month after wedding

Akothee finally reveals reasons for separating from Omosh 1 month after wedding

Man, once a ‘billionaire’, recounts how he lost wealth, now sells his book on streets [Video]

Man, once a ‘billionaire’, recounts how he lost wealth, now sells his book on streets [Video]

Details of Ngina Kenyatta's luxurious restaurant

Details of Ngina Kenyatta's luxurious restaurant

Zero Chills! Jackie Matubia's advice for Milly Chebby amid the unfollow drama

Zero Chills! Jackie Matubia's advice for Milly Chebby amid the unfollow drama

Nigerian royal dignitaries, including four kings and a queen, expected to attend Museveni’s 50th wedding anniversary celebrations

Nigerian royal dignitaries, including four kings and a queen, expected to attend Museveni’s 50th wedding anniversary celebrations

10 African countries with the strongest military power in 2024

10 African countries with the strongest military power in 2024

ADVERTISEMENT