Turnaround: DIB Bank Kenya reports Sh103m profit

DIB Bank Kenya (DIBBK), a subsidiary of Dubai Islamic Bank PJSC--the largest Islamic bank in the United Arab Emirates (UAE)--has announced a full-year profit of Sh103.4 million for the period ending December 31, 2024.

This marks a significant turnaround from a loss of Sh256 million in 2023.

The bank attributes this growth to increasing customer confidence in Shariah-compliant banking, which has supported a steady expansion of its balance sheet.

“Our commitment to delivering exceptional financial services continues to drive the growth of our customers' businesses, fueling the bank’s expansion. We appreciate our customers' trust and remain committed to strengthening these relationships,” said Ms Mary Kanuku, Acting CEO and Managing Director of DIB Bank Kenya.

DIBBK continues to expand its presence in Kenya, with recent branch openings in South C and Nyali.

The bank is also leveraging digital solutions to enhance customer experience, aligning with its long-term strategy of increasing accessibility to Shariah-compliant banking services.

“As we expand in Kenya, we reaffirm our dedication to advancing Islamic finance in the country,” said Dr Steve Mainda, Board Member of DIB Bank Kenya.

“Kenya’s vibrant market aligns with our mission of providing inclusive financial solutions rooted in Islamic values. With our legacy in Islamic banking, strong financial foundation, and global network, we aim to be a key partner in Kenya’s economic growth and prosperity.”

The Bank recorded a remarkable turnaround in profitability, with profit before tax rising to Sh103.4 million, a 140 percent year-on-year increase from a loss of Sh256 million in 2023.

This growth was primarily driven by an increase in non-funded income.

The balance sheet expanded by 9 percent, reaching Sh28.8 billion, up from Sh26.5 billion in 2023, supported by growth in customer deposits across various segments.

Net financing grew by 3 percent year-on-year, closing at Sh17.8 billion, compared to Sh17.3 billion in 2023, reflecting efficient deployment of funds.

The financial institution maintained a strong liquidity position at 32 percent, well above the statutory minimum requirement of 20 percent.

Capitalisation remained robust, with a Capital Adequacy Ratio (CAR) of 17.9 percent, ensuring a solid financial foundation.

DIBBK projects sustained profitability in 2025, supported by a strong balance sheet, stable capitalization and liquidity, a focus on asset quality management, and efficient business models.