Kenya Ripping Benefits of East African Community membership.
A few years ago, EAC ( East African Community) made it easy for business to expand beyond borders; Kenyan banking titans seem to have taken the opportunity with both hands. The East African reports that “Rwanda is now the most profitable market for Kenyan bank subsidiaries in the region, overtaking Tanzania where the lenders face a challenging business environment.” It further reports that 29% of all the banking profits from abroad comes from Rwanda; that is a significant ROI given the relative small size of the population in Rwanda compared to neighboring countries like Uganda and Tanzania.
The kenyan banks that have branches in Rwanda include but not limited to Equity Bank, KCB Group, I&M, and CBA. The later is owned Uhuru Kenyatta. The family spend nearly $10 million to acquire Crane Bank Rwanda.
Rwanda overtakes Tanzania — which was the best performing market in 2016. It is understood that Rwanda has 55 subsidiaries of Kenyan banks.