KCB group news Archives - Ghafla! Kenya

KCB Group: Ksh615 Billion worth of Green Loans screened in 2023

Posted on August 20, 2024 by Kibaki Muthamia

KCB Group screened loans worth KShs.615 billion for environmental and social risks in 2023 as the Bank races to support projects with positive environmental impacts.

This constitutes half of the Group’s loan book as at the end of last year, cementing KCB’s commitment to sustainable finance.

Additionally, KCB approved green loans worth KShs21.4B representing 15.5% of the total loan portfolio in 2023 and highlights its commitment to community-focused initiatives to create sustainable value for all its stakeholders.

KCB Group CEO Paul Russo(L), Cabinet Secretary, Environment, Climate Change and Forestry Hon. Aden Duale(C)and Principal Secretary, Environment & Climate Dr. Eng. Festus Ng’eno(R) unveil the 2023 KCB Group ESG & Sustainability Report.

The green loans disbursed were directed towards projects in e-mobility, climate change adaptation and mitigation, energy efficiency, and renewable energy.

The details are contained in the 2023 KCB Group Environmental, Social & Governance (ESG) and Sustainability Report launched on Tuesday 20th August- highlighting the Group’s progress towards its sustainability commitment.

KCB Group CEO Paul Russo said:

“We are increasing focus on sustainability and environmental responsibility. We are proud to announce the release of the first assured report, setting a new standard in ESG reporting in Africa.

This report confirms that our key performance indicators and metrics accurately reflect the bank’s performance, enhancing transparency and accountability.

This is borne from a belief that by aligning business practices with sustainability principles, financial institutions can drive long-term value creation, enhance their reputation, and mitigate risks associated with environmental and social challenges.”

KCB has also expanded its focus to encompass 14 Sustainable Development Goals(SDGs), enhancing its efforts to tackle a wide array of global challenges.

A notable initiative includes the bank’s calculation of its financed emissions for 2023, including Scope 3 emissions, by concentrating on its primary carbon-intensive sectors.

“In 2023, we made a bold commitment to address the climate crisis by allocating resources to climate action projects, aiming to create a tangible impact on our environment and communities.

For financial institutions, embracing sustainability and ESG principles is not merely a moral obligation but a strategic imperative,” Russo added.

KCB’s commitment to reducing its carbon footprint is further illustrated by its ambitious plans to offset emissions, which include planting over 300,000 trees in Kenya in 2023, with a target of reaching 1.2 million trees by the end of 2024.

Furthermore, the bank achieved an 11.14% reduction in carbon footprint intensity per staff member and increased its installation of LED lighting by 50% to optimize resource usage.

Also in attendance was Hon. Aden Duale, Cabinet Secretary in the Ministry of Environment, Climate Change and Forestry.

The CS adds:

“As we confront the pressing challenges of climate change, it is crucial that we all play our part. KCB’s investments in green finance, reforestation, and sustainable development demonstrate that financial institutions can lead this effort.

The government is committed to supporting such that align with our national goals of environmental conservation, climate resilience, and inclusive growth.”

The Group’s socio-economic initiatives underscore the vital role of ESG factors in fostering inclusive growth.

In 2023, the bank supported 2,877 youth through entrepreneurship incubations under the 2jiajiri programme, creating 13,352 direct jobs.

Additionally, KCB extended KShs. 115 billion in loans to women-owned businesses, empowering female entrepreneurs and advancing gender equality.

Acrobats perform during the launch at The Heart of Kencom, Nairobi.

The bank also disbursed KShs. 100 billion in loans to Micro, Small, and Medium Enterprises (MSMEs), which are essential drivers of economic development in the region.

KCB Group continues to lead the charge in climate action and sustainable development, demonstrating that financial institutions can play a pivotal role in addressing the world’s most pressing challenges while fostering economic growth and social equity.

This is buttressed by the bank’s ambition achieving a target of 25% of its total loan portfolio dedicated to sustainable initiatives by 2025.

Bazu wa Campo: Adventures and Memories of My First Ride at JKUAT!

Posted on July 28, 2023 by Kibaki Muthamia

Maze, I’ll always cherish the memories of my first ride – an aged, Peugeot 504 sedan my Uncle had abused for decades. To be fair, it was crumbling at the seams. But she had an awesome aftermarket exhaust – a deep, throaty roar that arrived before I did.

I was just twenty, on my first year of Campo, pale JKUAT. She cost an arm and a leg, almost one of my kidneys. Haikuwa easy kupata 75k those days. Yaani, I had to slave away for two long years at a Jua Kali shed hammering iron sheets.

I would be saving kitu three-quarters of my salary. Story za kwenda bash na rave with my gang ilibaki story. I was literally the poster boy for the phrase ‘Trust the Process’. But, form ilikuja ikajipa mbaya sana.

I paid off my beloved 504. I christened her ‘Hot-Stepper’, slapped on shiny rims and did some cool graphics. Overnight, I became the real Bazu wa Mtaa! Boss, si nili trend! It was mad, mad fun. Form za kwenda bash zikaanza kukam.

I would roll in with my crew, blasting the best of Kenyan hip-hop – talk of the now-defunct Wenyeji, Ukoo Flani Mau Mau and Abbas Kubaff.

I learnt to drive on that 504. Those days, I didn’t have enough for driving school so my instructor was some Kamba guy called Mutisya. He had a roadside garage in Umoja. I would get stuck in the middle of nowhere, in the wee hours – I had to send someone to fetch him.

None of us had a mobile phone! He always turned up, use the first 30 minutes kunipa misomo!

But, I was a good student. I picked the basics of an engine pretty quickly. I had to – Mutisya was quite expensive, maze. A tiny problem, he goes: “Ah, boss – hii inataka overhaul. Ama tuko na pesa ngapi tufanye shortcut?”

Later on, I’d realise it was an exaggeration. Mutisya was my baptism by fire mechanic. Fast forward, I’m very grateful to him.

My beloved Peugeot 504, 1984 model during the early days.

The Magic in Savings

In a nutshell, my beloved Hot-Stepper junk drilled into me the discipline of savings. I always had to have money, she would blow a fuse, or get a puncture without warning. When I took ownership, Uncle deliberately ignored educating me on the cost of service, fuel and annual insurance.

Then, the Subaru ya Mambaru crew. Maze, I’d be stopped by traffic cops on barriers and patrols. Yaani, lazima tu I had a problem: Oh, the left indicator light is not working. Oh, your tyres need replacement and such.

I always had to have some savings on standby.

Cars aside, the peace of mind that comes with knowing there’s a safety net in place for unexpected situations is an underrated comfort.

The tricky bit lies in picking the ideal saving option.

Long term vs Short Term

Short-term financial goals are achieved in a relatively short period, usually within a year or even a few months. The small, fun things you want to experience in the near future. Essentially, these bring satisfaction and joy to your life in the near future. Like, unataka iPhone Pro-something, sijui Bae-caetion pale Mombasa na Mpoa wako…..

On the other hand, long-term goals count as the big dreams you aim to make a reality. Think of big financial milestones on your radar. Time stretch varies between five years, ten years, or, even two decades down the road. Dreams like ka-plot somewhere outskirts za Runda, college fees za watoi or ku-buy Ranch huko shags for retirement.

How Should You Save Money?

You’ll definitely be spoilt for choice. There are traditional Savings Accounts, Fixed Deposit Accounts, Money Market Accounts (MMA) and Certificate of Deposit (CDs) accounts. These attract varying interest rates. Other options include Investment Accounts, Online and Goal-oriented Savings Accounts.

The savings concept is nearly similar across the list, what mostly differs is their maturity time and interests earned over the year.

KCB Bank offers all these options, but the bank’s most attractive savings option lies around the High-Yield Savings Account. As the name implies, customers enjoy higher interest rates than traditional savings accounts – for instance, the KCB Simba Savings Account.

The KCB Simba Savings Account

Bank is thrilled to present an ideal savings solution that revolutionizes the way you manage your money. The KCB Simba Savings account is big on flexibility, high-interest rates, and focused alignment with both short-term and long-term goals.

This savings option is packed with benefits:

Enjoy Unlimited free deposits
Earns up to 5% interest on your savings, annually.
No monthly fees, and no hidden fees.
Once-a-month withdrawal feature

The once-a-month withdrawal feature is an innovative add-on that assists mould financial discipline with Simba Savings account holders. The savings journey is tough, laden with temptations – so any withdrawal has to be planned and well thought-out.

What are the Requirements for KCB Simba Savings Account?

KCB Bank’s solid reputation around customer service is first seen with a hassle-free account opening process. Gone are the days of cumbersome paperwork and lengthy waiting times. Less paperwork means customers can save valuable time for their other hustles.

All you need is:

Valid Kenyan ID card or Passport
Your KRA PIN certificate

Once you present the two documents, you get your Simba Savings account. A new customer shall need to make a deposit account opening balance of Ksh1000. That also remains as the Simba Savings account minimum balance. There are no monthly fees charged.

Whether you’re a seasoned saver or just starting on your path to financial well-being, the Simba Savings account offers you the simplicity and convenience you deserve.

Click here now to open and learn more about a KCB Simba Savings Account. The next best time to start the savings journey is now.

While a KCB Bank representative may call you at any time to obtain further information in line with the KYC process, they will certainly not ask for your PIN and password.

Kumbuka, PIN yako, ni siri yako!

KCB prioritizes Sustainability at the 2023 WRC Rally

Posted on June 30, 2023 by Kibaki Muthamia

The 2023 World Rally Championship (WRC) Rally held in Naivasha from the 22nd to the 25th of June 2023, presented an opportunity to showcase that thrilling events can embrace environmental responsibility.

In the fast-paced world of motorsport, where excitement, speed, and adrenaline reign supreme, KCB, took the center stage to lead the charge towards a greener future. The thrill of watching rally cars zoom through challenging terrains captivates fans around the globe.

However, it is essential to recognize that such events also have negative implications towards the environment. The anticipated emissions, waste generated, and ecological disruptions caused by motorsport activities are significant concerns that cannot be ignored.

Showcasing sustainability at the 2023 WRC held in Soysambu, Naivasha; KCB tent with repurposed furniture and animal artifacts made from recycled metal, embracing the astonishing beauty of waste transformation.

For this reason, days leading to the rally, KCB joined forces with its sponsored drivers, planting a total of 500 trees in Naivasha Boys Boarding Primary School.

This act symbolized commitment to offsetting the rally’s carbon footprint and forged a powerful bond between the drivers and the environment. Beyond the checkered flag, this act instilled a lasting sense of environmental responsibility.

Before the rally, the Bank made a deliberate move to educate and empower its suppliers to integrate ESG practices into their business during the rally and in the future. This was done in line with KCB Group Suppliers’ Code of Conduct to educate the suppliers on how they can mainstream sustainability into their activities for the rally.

Promoting waste segregation at the 2023 WRC held in Naivasha; Color-coded bins positioned at KCB tents for effective waste collection, recycling and proper disposal.

The Code of Conduct aims to have our suppliers run a sustainable business that contributes to the welfare of society and the environment while realizing profits. It requires suppliers to adhere to labor and human rights, ensure a healthy and safe working environment, to have an effective environmental policy and Emergency preparedness and response.

Sustainability was woven into every aspect of the supply chain, ensuring that the event embraced environmentally conscious principles.

As the rally roared to life, the suppliers’ dedication to sustainability took center stage as they played a pivotal role in transforming the rally site into an eco-friendly haven exemplifying the principles of a circular economy.

In a circular economy, the goal is to minimize waste and maximize the value of resources by keeping them in use for as long as possible. Instead of following a linear “take-make-dispose” model, a circular economy aims to close the loop, creating a system where materials and products are reused, repaired, or recycled to create new value.

With ingenious creativity, they repurposed and used recycled materials like pallets, old oil drums, and tires, metal creating stunning decorations and furniture. This not only reduced waste but also showcased the astonishing beauty and functionality that waste and sustainable practices can achieve.

The event set-up was truly remarkable, catching everyone’s attention with strategically positioned eye-catching SDG (Sustainable Development Goals) boxes at the KCB tents. These stylish cubes not only provided seating spaces but also symbolized the goals embraced by KCB.

Serving as a constant reminder, they emphasized the broader social and environmental objectives throughout the event.

Waste management was a priority, with color-coded bins placed throughout the rally site for proper waste segregation and collection. KCB collaborated with WRC marshals to ensure effective waste segregation and collection. This streamlined approach facilitated proper collection, sorting, and safe disposal and recycling of the waste.

KCB Tents at the 2023 WRC Rally showcase sustainable furniture from recycled wood and pallets.

After the event concluded, the unwavering commitment to sustainability was evident as the Naivasha ground was left immaculate. Every piece of waste was diligently collected and disposed correctly.

This thorough process showcased KCB’s and her partners’ dedication to protecting the planet demonstrating enduring environmental sustainability initiatives from beginning to end.

The successful combination of excitement and environmental consciousness in motorsport events has been proven. The efforts of KCB serve as an inspiring testament, encouraging others to embrace sustainability and prioritize the well-being of our planet.

Now is the time to accelerate towards a greener future, leaving behind a trail of excitement and sustainability in every aspect of our lives.

KCB signs African Cross-Border Payment deal to support customers

Posted on June 23, 2023 by Kibaki Muthamia

KCB Group has signed an Africa-wide deal to facilitate settlements of cross-border transactions on the continent.

The agreement signed early this week with the Pan-African Payment and Settlement System (PAPSS) in Accra, Ghana on the side-lines of the Afrexim Bank Annual Meeting, makes KCB the first Bank in East Africa to on board the financial market infrastructure that provides a secure and efficient channel for processing cross-border payments.

KCB Group CEO, Paul Russo said this platform will guarantee speed, affordability, and reliability of transactions, effectively boosting intra-African trade and payments.

“With this agreement, we bring on board our payments and collections expertise spanning over 120 years. This means that our customers will now have access to vast economic opportunities that will deliver multiple advantages and efficiencies especially when conducting Intra-African trade payments.”

The platform is a centralized Financial Market Infrastructure developed in collaboration with the African Export-Import Bank (Afreximbank) to complement trading under the Africa Continental Free Trade Area (AfCFTA).

It provides an alternative to current high-cost and lengthy correspondent banking relationships to facilitate trade and other economic activities among African countries through a simple, low-cost risk-controlled payment clearing and settlement system.

KCB Group CEO, Paul Russo during the press conference.

“As a Pan-African banking institution, it is our desire to play a bigger role in facilitating trade across Africa and beyond. With such partnerships, we shall be able to settle our own transactions including those for all its subsidiaries as well as for other commercial banks without many hurdles.” Russo said.

The platform will deliver multiple advantages and efficiencies to intra-African trade payments that include a reduction in the duration and time variability of cross-border payments across Africa, support real-time payments, decrease the liquidity requirements of commercial banks for cross-border payments, remove transaction value limits, enable commercial banks to set the applicable exchange rates and strengthen oversight of cross-border payment systems by Central Banks.

The Pan-African Payment and Settlement System network currently consists of at least 8 Central Banks, 28 commercial banks, and six switches.

It has successfully been piloted in the six countries of the West African Monetary Zone and is expected to expand into the five regions of Africa before the end of 2023. Additionally, all African Central Banks are expected to sign up by the end of 2024 while all commercial banks by the end of 2025.