Absa Bank Kenya PLC will waive fees for transactional notification messages (SMS) and E-statements for its customers.
The decision was made in response to feedback from Absa customers, according to Simon Gachahi, the Head of Premier and Liabilities at Absa Bank Kenya.
Gachahi stated that Absa takes customer feedback seriously and strives to provide the best possible service and competitive products.
“Ultimately, Absa’s ambition is to be a digital-first bank that is well-positioned to compete in today’s digital world,” he added.
The waiver is intended to boost customer satisfaction and cushion them from unnecessary costs.
Absa’s ambition is to be a digital-first bank that can compete in today’s digital world.
Under its new business strategy, the bank aims to become a consumer financial services business that meets modern-day needs by benchmarking its consumer business against market offerings and consumer needs.
A critical part of this strategy is to establish best-in-class customer experiences and digital propositions while modernizing Absa’s systems with cutting-edge, cloud-based technologies.
To enhance its customers’ financial well-being, the bank recently introduced the Absa Digital Savings Account, which offers a superior interest rate of 9% per annum with monthly interest payouts on savings.
In Q1’2023 ABSA Bank’s Non-Funded Income (NFI) increased by 49.3% to Kshs 4.5 billion, up from Kshs 3.0 billion in Q1’2022.
This increase was driven by a 79.9% increase in Foreign Exchange trading income, which rose to Kshs 2.2 billion from Kshs 1.2 billion in Q1’2022.
Additionally, other fees and income increased by 36.5% to Kshs 1.6 billion, up from Kshs 1.2 billion in Q1’2022, while other income increased by 22.1% to Kshs 0.4 billion from Kshs 0.3 billion in Q1’2022.
As a result of these changes, the revenue mix shifted to a ratio of 70:30 for funded to non-funded income, compared to the ratio of 67:33 recorded in Q1’2022.
This shift is attributable to the faster growth of NII, which increased by 36.0%, compared to the 49.3% increase in NFI.
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