Equity Group defied the economic effects of the Covid-19 pandemic record a 98 per cent growth in its net profit in the first half of 2021.
The tier-1 lender grew its net earnings to Sh17.9billion in H1 2021 compared to Sh 9.1billion over the first six months of last year.
The performance was buoyed by higher interest income and a fall in bad loan provisions that soared last year on the account of the effects of the pandemic.
The lender’s net interest income from loans grew by 26 per cent from Sh24.6billion to Sh31.2billion while net loans increased by 29 per cent from Sh391.6billion in H1 2020 to Sh504.8billion at the end of the first six months of this year.
Gross loan provisions on the other hand declined significantly from Sh8 billion in H1 2020 to Sh2.9billion in H1 2021.
“We have seen significant recoveries in all the six countries where we operate, with the market bouncing back to the pre-Covid-19 growth trajectory,” said James Mwangi, Equity Group Managing Director and CEO.
Customer deposits grew by 51 per cent to Sh820.3billion. BY THE STAR