Kenya’s National Treasury on Wednesday received KSh2.12 billion in dividend earnings from KCB Group Plc for the year ended December 2019.
The Ksh1 interim dividend and Ksh 2.50 final dividend is the highest amount KCB to ever pay in dividends to the government.
In 2018, the payout was KShs 1.8 billion.
KCB Group chairman Andrew Kairu said the group has over the years consistently maximised shareholder value and provided an unmatched return on investment to its shareholders.
“KCB has built a sustainable organisation that is now the biggest indigenous banking institutions in East Africa by assets, profitability and other key matrices,” Wambara said.
“This payout is timely, coming at a time when there are rising expenditure demands in the wake of the COVID-19 pandemic and revenue collections are subdued. We need to channel resources directly to Micro, Small and Medium Enterprises (MSMEs) to get them going through the crisis” said Treasury CS Ukur Yatani.
During the 2019 annual general meeting, KCB Group shareholders approved a KSh11.1 billion total dividend payout. The dividend will be paid on or before July 3, 2020, to shareholders on the register as of the close of business on April 27, 2020.
KCB reported KSh 6.3 billion in profit after tax in the first quarter of 2020 ending March. This was an 8 percent jump from the Ksh 5.8 billion posted a similar period last year.