Equity Bank Group emerged as the most stable banks in the world in terms of Capital Adequacy Ratio (CAR), a measure of the bank’s financial stability according to the Top 1000 World Banks 2018 ranking.

The lender was ranked 35th globally and first in Kenya ranking at 799 with KSh84.8 billion ($848 million) in Tier 1 capital.

This shows that it has moved seven places up, compared with the 806th position it was placed last year. The lender was also categorised position 11 on profit and loss assets, 35th on the bank’s capital risk-weighted assets, and 44th on profits on capital.

“The ranking is an indication that Equity Bank remains robust, despite the challenging operating environment. The Bank has already developed and adopted a sustainable business model to cushion the business as well as boost value creation for shareholders. Innovation has proved to be a great enabler in driving growth and already registering efficiency gains from digitization,” read a statement from the Bank.

Kenya Commercial Bank (KCB) was ranked 809th, a drop from last year, with a tier capital of – 11.08 per cent.

Read: KCB Retains its Spot as Most Attractive Bank for Investors 

Co-operative Bank was third among the Kenyan banks. It was ranked 951th globally, with a tier capital of 8.10 per cent.

According to The Banker, Africa’s economic fortunes improved in the 2017 review period after a difficult period in which lower commodity prices hit the performance of the African continents’ largest markets.

The Banker July 2018 edition features the Top 1000 World Banks ranking, which has been setting the industry benchmark since 1970. The ranking provides each bank’s performance, strength and stability.

This helps track bank performance, identify banking partners for the future and track the big movers and new arrivals by benchmarking on their size, growth, profitability (Return on assets, return on capital and cost to income ratio) as well as the advantage in terms of Capital to assets ratio.

Community Engagement Editor at Khusoko. I connect with our audience, deliver news on various platforms, and diversify voices on our website. I excel in social-media and multimedia.

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