Kenya Commercial Bank (KCB) Group has announced plans to open a new subsidiary in Rwanda, seeking to double its regional business in the next two years and support economic expansion in Rwanda.
The lender merged KCB Bank Rwanda with its newly acquired Banque Populaire du Rwanda (BPR) to form BPR Bank Rwanda Plc last month.
BPR is now the second-largest lender in Rwanda, following the merger, giving KCB a stronger edge in deepening its corporate and retail banking in the country.
BPR Bank Rwanda has an asset base of $632 million, and a network of 154 branches, after Bank of Kigali, the biggest local bank.
The Bank says scaling its regional business is critical for the future, adding that it will bolster its investments in Rwanda. The lender is currently eyeing another opening the Democratic Republic of Congo.
KCB Group CEO Joshua Oigara says the bank will invest significantly to support the key economic sectors like housing, agriculture, and hospitality.
The Group has subsidiaries in Tanzania, South Sudan, Uganda, Rwanda, and Burundi as well as a representative office in Ethiopia.
The Bank subsidiaries, including the National Bank of Kenya which was acquired by KCB in 2019, doubled their total contribution to the Group’s net profit to $47.32 million from $24.1 million, for the full year ending December 31, 2021.