Digital gains, SME support drive Co-op Bank to Sh25.5Bn profit
Co-op Bank Naromoru Branch. Coop Bank’s subsidiaries posted strong performance in 2024, with Kingdom Bank posting a profit before tax of KES1.07 billion, Co-op Bancassurance Intermediary Ltd contributing KES1.2 billion, and Co-op Trust Investment Services managing assets worth KES381 billion
Co-operative Bank has wrapped up 2024 with a string performance, reporting a net profit of KES25.5 billion, which was a 9.8 percent jump from the previous year’s KES23.2 billion.
Analysis shows that this growth was fueled by a 12.5 percent surge in total operating income, which hit KES80.6 billion, driven by a 13.9 percent increase in net interest income to KES51.5 billion and a 10.1 percent upswing in non-interest income to KES29.1 billion.
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Group CEO Dr. Gideon Muriuki attributed the strong performance to the bank’s resilient business model, strategic digital investments, and its deep ties to the 15-million-member cooperative movement in the country.
Shareholders, meanwhile, have reason to smile, with the Board recommending a dividend payout of KES1.50 per share, totaling KES8.8 billion subject to approval at an AGM scheduled on May 16, 2025.
The bank’s subsidiaries also posted strong performance, with Kingdom Bank posting a profit before tax of KES1.07 billion, Co-op Bancassurance Intermediary Ltd contributing KES1.2 billion, and Co-op Trust Investment Services managing assets worth KES381 billion.
During the year, Coop’s digital shift continued to pay off, with over 92 percent of transactions now undertake through mobile banking, internet banking, ATMs, and agency networks.
Its mobile lending platform, MCo-op Cash, disbursed KES76.7 billion in loans, averaging KES6.39 billion per month.
Despite a tough credit environment marked by high interest rates set by the Central Bank, customer deposits grew by 12.1 percent to KES506.1 billion, while total assets increased by 10.7 percent to close the year at KES743.2 billion.
Co-op Bank’s commitment to supporting small businesses continued, with KES14.2 billion disbursed through its Mobile E-Credit platform in 2024 alone. Since 2018, over 235,000 customers have benefited from its MSME banking package, the lender said.
On the sustainability front, Co-op Bank reaffirmed its leadership, winning Kenya’s Most Sustainable Bank award for the fifth time. It also launched the Co-op-a-Maji loan in partnership with Water.org, furthering its commitment to water and sanitation initiatives.
