Bank

5. Barclays Bank of Kenya[4]

10. Cooperative Bank of Kenya
15. Ecobank Kenya
20. Giro Commercial Bank
25. Habib Bank AG Zurich
30. Kenya Commercial Bank
35. Paramount Universal Bank
40. Standard Chartered Kenya
Name
Judah Waweru
Judah Waweru
Judah Waweru
Judah Waweru
Judah Waweru
Judah Waweru
Judah Waweru
Judah Waweru
CONSOLIDATED INCOME STATEMENT
2016 2015 2014 2013
Kshs Kshs Kshs Kshs
million million million million

Interest income 22941 21297

Interest expense -3337 -2437
Net interest income 19,604 18,860

Fees and commission income 7189 7237

Fees and commission expense -825 -717
Net fees and commission income 6364 6520

Foreign exchange income 2042 2084

Impairment losses on loans and advances 266 449
Other operating income 12 9
Other operating expenses 0 0
Total income 28,288 27,922

Provision for impairment of loans and advances to customers -1405 -1223

Net operating income 26,883 26,699

Employee benefits -8100 -8114

Other operating expenses -5420 -5515
Depreciation and amortisation expense -1070 -1148
Operating expenses -14,590 -14,777
12,293 11,922

Restructuring expense - -788

Net income from sale of custody business
Profi t before income tax 12,293 11,134

Income tax expense -3906 -3511

Profi t for the year 8,387 7,623

Earnings per share

* Basic and diluted (Kshs per share) 1.54 1.4

CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME

Profi t for the year 8,387 7,623

Other comprehensive income

Gains on available for sale securities
*Remeasurement of post-employment benefit obligations 49 246
*Unrealised net gains arising during the year 133 -279
*Diffrered Tax -40 84
142 51

Total comprehensive income for the year 8,529 7,674

 2012 2011 2010 2009 2008 2007 2006
Kshs Kshs Kshs Kshs Kshs Kshs million Kshs
million million million million million million

17,131
(1,457)
15,674

7,892
(518)
7,374

2,346
(1,200)
631
8
0 0 24,825 9
10

0 0 24,825

(14,049)

0 0 -14,049
0 0 10,776

(767)
3,544
0 0 13,553

(2,954)
0 0 10,599

0 0 10,599

390
0 0 390

0 0 10,989
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
2016 2015 2014 2013
Kshs Kshs Kshs Kshs
million million million million
ASSETS Kshs millioKshs millioKshs million Kshs million
24,568 16,908
Cash and balances with Central Bank of Kenya
Financial assets at fair value through profit or loss 6,133 1,987
51,033 47,559
Financial assets available-for-sale
1,207 1,386
Deposits and balances due from banking institutions
4,755 9,129
Balances due from group companies
125,423 118,362
Loans and advances to customers
6,589 4,678
Other assets
2,847 2,786
Property and equipment
2,490 2,858
Intangible assets
57 58
Prepaid operating lease rentals
399 1,028
Current income tax
254 -
Deferred income tax
89 -
Post-employment benefit assets
0
Investments in subsidiary companies 0
0
Government securities: available-for-sale securities 0
Total assets 225,844 206,739

LIABILITIES
Balances due to Central Bank of Kenya
164,779 151,125
Customer deposits
121 4,738
Deposits and balances due to banking institutions
2,117 3,109
Borrowings
13,291 8,760
Balance due to group companies
Current income tax payable
- 154
Deferred income tax liabilities
Long term liabilities
7,351 6,356
Other liabilities
- 125
Post-employment benefits obligations
Total liabilities 187,659 174,367

SHAREHOLDERS EQUITY
Share capital 2716 2,716
Revaluation reserve : investment in subsidiaries
Revaluation reserve : available for sale securities
Other reserves -308 -401
Retained earnings 29913 26368
Statutory loan loss reserve 432 973
Proposed dividend 5432 2716
Total shareholders equity 38,185 32,372
Total equity and liabilities 225,844 206,739
 2012 2011 2010 2009 2008 2007
Kshs Kshs Kshs million Kshs Kshs Kshs million
million million million million
Kshs millioKshs millioKshs million Kshs million Kshs millioKshs million
13,131 9,751
350 412

935 1,061
3,285 6,246
87,147 93,543
3,279 1,496
3,244 5,921
3,448 686
61 62
0 0
0 0
1,539 1,837
275 275
55,996 43,861
0 0 172,690 165,151

Deposits and balances due to

3,105 1,503 banking institutions 4738
123,826 125,869 Due to group companies
8760
92 262 Customer deposits
151125
Other liabilities and accrued
- 34 expenses 6356
1,571 3,986 3109
195 117 Deferred income tax
154
508 619 125
4,351 4,294 Total liabilities 187,659 174,367

7,577 4,257

0 0 141,225 140,941

2716 2,716 2716 2,716 EQUITY

89 89 Share capital 2716 2716
515 125 Regulatory reserve

19237 16,793 Retained earnings

2526 1,771 Proposed dividend
6,382 2,716 Total equity 38185 32372
2,716 2,716 31,465 24,210
2,716 2,716 172,690 165,151
CONSOLIDATED STATEMENT OF CASH FLOWS
2016 2015 2014 2013 2012
Kshs Kshs Kshs Kshs Kshs
million million million million million
Cash ows from operating activities
Interest receipts
Interest payments
Net fee and commission receipts
Other income received
Recoveries from loans previously written of
Payments to employees and suppliers
Tax paid
Cash ows from operating activities before
changes in operating assets and liabilities

Changes in operating assets and liabilities:

* loans and advances
- other assets
- CBK cash reserve requirement
- government securities maturing after 90 days
- lines of credit
- customer deposits
- other liabilities
- amounts due to group companies
Net cash from operating activities 9333 3814
(683) (656)
Cash ows from investing activities
Purchase of property and equipment
Purchase of intangibles (80) (17)

Proceeds from sale of property and equipment 0 0

Net cash used in investing activities (763) (673) 0
Cash ows from nancing activities
Dividends paid -2716 -4888
Repayment of Borrowing -992 -1390
Net cash used in nancing activities (3,708) (6,278) 0
Net decrease in cash and cash equivalents 4,862 (3,137) 0
Cash and cash equivalents at beginning of year 1679 4816
Cash and cash equivalents at end of year 6,541 1,679 0
The notes on pages 46 to 89 are an integral part of this Financial Statements.
 2011 2010 2009 2008 2007 2006
Kshs Kshs million Kshs million Kshs Kshs Kshs
million million million million
16,884 17,735

(1,666) (2,875)
7,317 6,257
6,764 2,158
291 365
(13,638) (12,524)
(3,154) (2,844)
12,798 8,272

6,411 13,870
(1,487) 1,996
(32) 816
(15,173) (13,420)
(34) (255)
(1,863) (413)
3,407 (1,146)
(2,416) (5,897)
1,611 3,823

(287) (3,241)

(1,102) (346)
1 5
0 (1,388) (3,582)
(3,734) (2,716)

0 (3,734) (2,716)
0 (3,511) (2,475)
12,151 14,626
0 8,640 12,151
Consolidated statement of cash flows
At 31 December Notes 2014 2013
Shs Shs
Net cash flows from operating activities 35(a) million
9,333 million
3,814

Cash flows from investing activities

Purchase of property and equipment 20 (683) (656)
Purchase of intangibles 21 (80) (17)

Net cash used in investing activities (763) (673)

Cash flows from financing activities
Dividends paid (2,716) (4,888)
Repayment of borrowings (992) (1,390)
Net cash used in financing activities (3,708) (6,278)

Net increase/(decrease) in cash and cash equivalents 4,862 (3,137)

Cash and cash equivalents at start of year 35(b) 1,679 4,816
Cash and cash equivalents at end of year 35(b) 6,541 1,679

Notes
1 General information
Barclays Bank of Kenya Limited (the Bank) is a public limited company, incorporated and domiciled in Kenya. Its shares are
listed on the Nairobi Securities Exchange. The address of its registered office is:
The West End Building
Waiyaki Way
PO Box 30120 code 00100 NAIROBI
The ultimate holding company of the Bank is Barclays Plc. which is a limited liability company incorporated and domiciled in
United Kingdom.
The consolidated financial statements of the Bank as at and for the year ended 31 December 2014 comprise the Bank and its
subsidiaries (together referred to as the Group). The Group primarily is involved in corporate and retail banking.
For the Kenya Companies Act reporting purposes, the balance sheet is represented by the statement of financial position and
profit or loss account by the statement of profit or loss in these financial statements.
2 Summary of significant accounting policies
The principal accounting policies applied in the preparation of these consolidated financial statements are set out below.
These policies have been consistently applied to all years presented, unless otherwise stated.
2.1 Basis of preparation
The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards
(IFRS) and IFRS Interpretations Committee (IFRIC) applicable to companies reporting under IFRS.
(a) Basis of measurement
The measurement basis used is the historical cost basis except where otherwise stated in the accounting policies below.
For those assets and liabilities measured at fair value, fair value is the price that would be received to sell an asset or paid
to transfer a liability in an orderly transaction between market participants at the measurement date. When measuring the fair value of an asset or a liability, the Bank us
Fair values are categorised into three levels of fair value hierarchy based on the degree to which the inputs to the
measurements are observable and the significance of the inputs to the fair value measurement in its entirety:
Level 1 fair value measurements are derived from quoted prices (unadjusted) in active markets for identical assets or
liabilities.
Level 2 fair value measurements are derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either direct
Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market d
Transfers between levels of the fair value hierarchy are recognised by the Bank at the end of the reporting period during
which the change occurred.

Notes (continued)
2 Summary of significant accounting policies (continued)
2.1 Basis of preparation (continued)
(b) Use of estimates
The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates. It
also requires management to exercise its judgment in the process of applying the Groups accounting policies. The areas involving a higher degree of judgment or comple
(c) Changes in accounting policy and disclosures
New standards, amendments and interpretations adopted by the Group
The following are the significant amendments to existing standards that have been adopted by the Group for the first time
for the financial year beginning on or after 1 January 2014:
IAS 32(Amendment), Financial instruments: Presentation on offsetting financial assets and financial liabilities. This
amendment clarifies that the right of set-off must not be contingent on a future event. It must also be legally enforceable for all counterparties in the normal course of b
IAS 39(Amendment), Financial instruments: Recognition and measurement on the novation of derivatives and the
continuation of hedge accounting. This amendment considers legislative changes to over-the-counter derivatives and the establishment of central counterparties. Unde
discontinuance of hedge accounting. The amendment provides relief from discontinuing of hedge accounting when novation
of a hedging instrument meets specified criteria. There has been no significant impact on the Group financial statements.
Other standards, amendments and interpretations which are effective for the financial year beginning on 1 January 2014 are
not material to the Group.
New and revised standards and interpretations not yet adopted
A number of new standards and amendments to standards and interpretations are effective for annual periods beginning
after 1 January 2014, and have not been applied in preparing these financial statements. None of these is expected to have a significant effect on the consolidated financ
IFRS 9, Financial instruments, addresses the classification, measurement and recognition of financial assets and financial
liabilities. The complete version of IFRS 9 was issued on July 2014. It replaces the guidance in IAS 30 that relates to the classification and measurement of financial instrum
IFRS 9 retains but simplifies the mixed measurements model and establishes three primary measurement categories for
financial assets: amortised cost, fair value through other comprehensive income (FVTOCI) and fair value through profit or loss (FVTPL). The basis of classification depends

Notes (continued)
2 Summary of significant accounting policies (continued)
2.1 Basis of preparation (continued)
(c) Changes in accounting policy and disclosures (continued)
New and revised standards and interpretations not yet adopted (continued)
There is now a new expected credit losses model that replaces the incurred loss impairment model used in IAS 39. For
financial liabilities there were no changes to the classification and measurement except for the recognition of changes in own credit risk in other comprehensive income,
The standard is effective for accounting periods beginning on or after 1 January 2018. Early adoption is permitted. The Group
is yet to assess the full impact of IFRS 9 on the consolidated financial statements.
IFRS 15, Revenue from contracts with customers, deals with revenue recognition and establishes principles for reporting
useful information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows arising from an entitys contracts with cu
Amendments to IAS 19 titled Defined benefit plans: employee contributions: the amendments, applicable retrospectively to
annual periods beginning on or after 1 July 2014, clarify the requirements that relate to how contributions from employees or third parties that are linked to service shou
independent of the number of years of service can be recognised as a reduction in the service cost in the period in which the related service is rendered (instead of attrib
2.2 Consolidation
The consolidated financial statements comprise the financial statements of Barclays Bank of Kenya Limited and its subsidiary
companies made up to 31 December. Subsidiary undertakings have been fully consolidated. All intercompany transactions, balances and unrealised surpluses and defici
2.3 Foreign currency translation
(a) Functional and presentation currency
On initial recognition, all transactions are recorded in the Functional Currency (the currency of the primary economic
environment in which the Group operates), which is the Kenya Shilling. The financial statements are presented in Kenya Shillings, which is the Groups presentation curre

Notes (continued)
2 Summary of significant accounting policies (continued)
2.3 Foreign currency translation (continued)
(b) Transactions and balances
Transactions in foreign currencies during the year are translated into the functional currency using the exchange rates
prevailing at the dates of the transaction or valuation where items are re-measured. Foreign exchange gains and losses resulting from the settlement of such transactions
Monetary items denominated in foreign currency are translated at the closing rate as at the reporting date.
Translation differences on non-monetary financial instruments, such as equities held at fair value through profit or loss, are reported as part of the fair value gain or loss.
2.4 Sale and repurchase agreements
Securities sold subject to repurchase agreements (repos) are classified in the financial statements as pledged assets when
the transferee has the right by contract or custom to sell or repledge the collateral; the counterparty liability is included in amounts due to Central Bank of Kenya, due to
Securities purchased from Central Bank of Kenya under agreements to resell (reverse repos) are disclosed separately as they
are purchased and are not negotiable/discounted during their tenure. The difference between sale and repurchase price is treated as interest and accrued over the life o
2.5 Financial assets and liabilities
2.5.1 Financial assets
The Group classifies its financial assets into the following categories: financial assets at fair value through profit or loss; loans,
advances and receivables and available-for-sale financial assets. Management determines the appropriate classification of its financial assets at initial recognition.
(a) Financial assets at fair value through profit or loss
This category comprises two sub-categories: financial assets classified as held for trading, and financial assets designated by
the Bank as at fair value through profit or loss upon initial recognition.
A financial asset is classified as held for trading if it is acquired or incurred principally for the purpose of selling or
repurchasing it in the near term or if it is part of a portfolio of identified financial instruments that are managed together and for which there is evidence of a recent actu
Derivatives are also categorised as held for trading unless they are designated and effective as hedging instruments. All
derivatives are carried as assets when fair value is positive and as liabilities when fair value is negative.

Notes (continued)
2 Summary of significant accounting policies (continued)
2.5 Financial assets and liabilities (continued)
2.5.1 Financial assets (continued)
The Group designates certain financial assets upon initial recognition as at fair value through profit or loss (fair value option).
This designation cannot subsequently be changed and can only be applied when the following conditions are met:
the application of the fair value option reduces or eliminates an accounting mismatch that would otherwise arise or
the financial assets are part of a portfolio of financial instruments which is risk managed and reported to senior management on a fair value basis or
the financial assets consists of debt host and an embedded derivatives that must be separated.
Financial assets at fair value through profit or loss are carried at fair value. Purchases and sales of financial assets at fair value
through profit or loss are recognized on trade-date, the date on which the Group commits to purchase or sell the asset. Fair value changes relating to financial assets des
(b) Loans and receivables
Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an
active market. They arise when the Bank provides money, goods or services directly to a debtor with no intention of trading the receivable.
Loans and receivables are initially recognised at fair value which is the cash consideration to originate the loan including
any transaction costs and measured subsequently at amortised cost using the effective interest method.
Loans and receivables are reported in the statement of financial position as loans and advances to customers, deposits with
financial institutions, cash with Central Bank of Kenya and balances due from group companies (Notes 18, 17, 14 and 36).
Interest on loans is included in the statement of profit or loss and is reported as Interest income. In the case of impairment,
the impairment loss is reported as a deduction from the carrying value of the loan and recognised in the statement of profit or loss as impairment losses on loans and ad
(c) Available-for-sale financial assets
Available-for-sale financial assets are financial assets that are intended to be held for an indefinite period of time, which may
be sold in response to needs for liquidity or changes in interest rates, exchange rates or equity prices or that are not classified as loans and receivables, held-to-maturity i
Available-for-sale financial assets are initially recognised at the fair value of the consideration given plus any transaction
costs, and measured subsequently at fair value with gains and losses being recognised in the statement of comprehensive income, except for impairment losses and forei
If an available for sale financial asset is determined to be impaired, the cumulative gain or loss previously recognised in the statement of comprehensive income is recogn

Notes (continued)
2 Summary of significant accounting policies (continued)
2.5 Financial assets and liabilities (continued)
2.5.2 Financial liabilities
All the Banks financial liabilities are measured at amortised cost. These include deposits from banks or customers or
balances due to Group companies, long term debt instruments and subordinated debts (Notes 24, 25, 36 and 27).
Financial liabilities are initially recognised at their fair value, being their issue proceeds (fair value of consideration received),
net of transaction costs incurred and subsequently measured at amortised cost. Financial liabilities are derecognised when extinguished.
2.5.3 Determination of fair value
For financial instruments traded in active markets, the determination of fair values of financial assets is based on quoted
market prices or dealer price quotations. This includes listed equity securities and quoted debt instruments on major exchanges and broker quotes.
A financial instrument is regarded as quoted in an active market if quoted prices are readily and regularly available from an
exchange, dealer, broker, industry group, pricing service or regulatory agency, and those prices represent actual and regularly occurring market transactions on an arms l
For all other financial instruments, fair value is determined using valuation techniques. These include the use of recent arms
length transactions, discounted cash flow analysis and other valuation techniques commonly used by market participants.
The Bank uses widely recognised valuation models for determining fair values of government securities. For these financial
instruments, inputs into models are generally market-observable.
The fair values of the Banks financial assets and liabilities approximate the respective carrying amounts, due to the generally
short periods to contractual re-pricing or maturity dates. Fair values are based on discounted cash flows using a discount rate based upon the borrowing rate that directo
The fair value of foreign exchange forwards is generally based on current forward exchange rates.
2.5.4 Derecognition
Financial assets are derecognized when the rights to receive cash flows from the financial assets have expired or where the
Group has transferred substantially all risks and rewards of ownership.
Financial liabilities are derecognised when they have been redeemed or otherwise extinguished.
an asset or a liability, the Bank uses market observable data as far as possible. If the fair value of an asset or a liability is not directly observable, it is estimated by the Bank using valuation

the asset or liability, either directly (ie as prices) or indirectly (ie derived from prices).
not based on observable market data (unobservable inputs).

er degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 3.
parties in the normal course of business, as well as in the event of default, insolvency or bankruptcy. The amendment also considers settlement mechanisms. The amendment did not ha

t of central counterparties. Under IAS 39 novation of derivatives to central counterparties would result in

effect on the consolidated financial statements of the Group, except the following:

measurement of financial instruments.

he basis of classification depends on the entitys model and the contractual cash flow characteristics of the financial asset. Investments in equity instruments are required to be measured

in other comprehensive income, for liabilities designated at fair value through profit or loss. IFRS 9 relaxes the requirements for hedge effectiveness by replacing the bright line hedge eff

rom an entitys contracts with customers. Revenue is recognised when a customer obtains control of a good or service and thus has the ability to direct the use and obtain the benefits fro

es that are linked to service should be attributed to periods of service. In particular, contributions that are
vice is rendered (instead of attributing them to the periods of service). The Group is currently assessing the impact of the amendment on the consolidated financial statements.

d unrealised surpluses and deficits on transactions between Group companies have been eliminated. The accounting policies for the subsidiaries are consistent with the policies adopted

is the Groups presentation currency. The figures shown in the financial statements are stated in Kenya Shillings (Shs), rounded to the nearest million.

e settlement of such transactions and from translation at year end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss, exc

part of the fair value gain or loss. Translation differences on non-monetary financial instruments, such as equities classified as available-for-sale financial assets, are included in other comp

to Central Bank of Kenya, due to other banks, deposits from banks, other deposits or deposits due to customers, as appropriate.

erest and accrued over the life of the agreements using the effective interest method.

ssets at initial recognition.

here is evidence of a recent actual pattern of short-term profit-taking.

 fair value basis or

es relating to financial assets designated at fair value through profit or loss are recognized in the statement of profit or loss in the year in which they arise.

mpairment losses on loans and advances.

nd receivables, held-to-maturity investments or financial assets at fair value through profit or loss.

pt for impairment losses and foreign exchange gains and losses, until the financial asset is derecognised.
comprehensive income is recognised in the statement of profit or loss. However, interest is calculated using the effective interest method, and foreign currency gains and losses on mone

market transactions on an arms length basis. If the above criteria are not met, the market is regarded as being inactive. Indicators that a market is inactive are when there is a wide bid-off

on the borrowing rate that directors expect would be available to the company at the reporting date.
le, it is estimated by the Bank using valuation techniques that maximise the use of relevant observable inputs and minimise the use of unobservable inputs (e.g. by use of the market com

disclosed in Note 3.
ent mechanisms. The amendment did not have a significant effect on the Group financial statements.

uity instruments are required to be measured at fair value through profit or loss with the irrevocable option at inception to changes in fair value in OCI not recycling.

tiveness by replacing the bright line hedge effectiveness tests. It requires an economic relationship between the hedged item and hedging instrument and for the hedged ratio to be the

ty to direct the use and obtain the benefits from the good or service. The new standard is effective for annual periods beginning on or after 1 January 2017, and replaces IAS 11 and IAS 1

e consolidated financial statements.

aries are consistent with the policies adopted by the Bank. A listing of the Banks subsidiaries is set out in Note 23.

urrencies are recognised in profit or loss, except when deferred in other comprehensive income as qualifying cash flow hedges and qualifying net investment hedges.

le financial assets, are included in other comprehensive income.

nd foreign currency gains and losses on monetary assets classified as available for sale are recognised in the statement of profit or loss. In the year of sale, the cumulative gain or loss reco

ket is inactive are when there is a wide bid-offer spread or significant increase in the bid-offer spread or there are few recent transactions.
servable inputs (e.g. by use of the market comparable approach that reflects recent transaction prices for similar items or discounted cash flow analysis). Inputs used are consistent with t
lue in OCI not recycling.

strument and for the hedged ratio to be the same as the one management actually use for risk management purposes. Contemporaneous documentation is still required but is different

January 2017, and replaces IAS 11 and IAS 18. The Group is currently assessing the impact of IFRS 15 on the consolidated financial statements.

g net investment hedges.

e year of sale, the cumulative gain or loss recognised in other comprehensive income is reclassified to the profit or loss account.
w analysis). Inputs used are consistent with the characteristics of the asset / liability that market participants would take into account
documentation is still required but is different to that currently prepared under IAS 39.
Bank statement of financial position
2014 2013
At 31 December Notes Shs million Shs million
ASSETS
Cash and balances wi 14 24568 16908
Financial assets at fai 15 6133 1987
Financial assets avail 16 51033 47559
Deposits and balances 17 1207 1386
Due from group comp 36 4755 9129
Loans and advances t 18 125423 118362
Other assets and pre 19 6589 4678
Property and equipm 20 2847 2786
Intangible assets 21 2490 2858
Prepaid operating lea 22 57 58
Current income tax 396 1025
Deferred income tax 28 254 -
Investments in subsi 23 275 275
Post employment bene 29 89 -
Total assets 226116 207011
LIABILITIES
Deposits and balances 24 121 4738
Due to group compan 36 13291 8760
Customer deposits 25 164779 151125
Other liabilities and 26 7623 6628
Borrowings 27 2117 3109
Deferred income tax 28 - 154
Post employment bene 29 - 125
Total liabilities 187931 174639
EQUITY
Share capital 30 2716 2716
Regulatory reserve 31 432 973
Other reserves 32 -308 -401
Retained earnings 29913 26368
Proposed dividend 13 5432 2716
Total equity 38185 32372
Total liabilities and equity 226116 207011
The financial statements on pages 68 to 126 were approved for issue by the Board of Directors on 6 March 2015 and signed on
by:
Chairman: Francis Okomo-Okello Managing Director: Jeremy Awori
Director: Yusuf Omari Company Secretary: Waweru Matheng
on 6 March 2015 and signed on its behalf

ing Director: Jeremy Awori

any Secretary: Waweru Mathenge
Consolidated Income Statement
2016
KShs000
Interest income ###
Interest expense (12,768,300.00)
NET INTEREST INCOME 24,581,557.00

Fees and commission income 9,787,509.00

Fees and commission expense (248,482.00)
NET FEES AND COMMISSION INCOME ###

Net trading income 5,277,360.00

Amortisation of government grants 18,475.00
Other operating income 2,854,512.00
TOTAL OTHER INCOME ###
OPERATING INCOME 42,270,931.00

Net impairment losses on loans and advances (2,599,671.00)

Amortisation of intangible assets (485,506.00)
Amortisation of leasehold land (612.00)
Depreciation of property and equipment (1,936,699.00)
Employee costs (9,403,441.00)
Other operating expenses (10,219,016.00)
OPERATING EXPENSES 24,644,945.00
OPERATING PROFIT ###

Share of profit of an associate 97,546.00

PROFIT BEFORE TAX ###

INCOME TAX EXPENSE (5,047,322.00)

PROFIT FOR THE YEAR 12,676,210.00
Attributable to: ###
Equity holders of the parent

Non-controlling interest (251,558.00)

12,676,210.00

Basic earnings per share (KShs) 2.64

Diluted earnings per share (KShs) 2.20

Consolidated Statement of Comprehensive Income

PROFIT FOR THE YEAR ###

OTHER COMPREHENSIVE INCOME, NET OF TAX
Other comprehensive income to be reclassified to profit or loss in
subsequent periods:
Net movement on available-for-sale investments 708,015.00
 Exchange diVerences on translation of a foreign operation 1,859,238.00
Other comprehensive income of associates
-Fair value loss on available for sale investments -
Other comprehensive income not to be reclassified to profit or loss in
subsequent periods:
Revaluation of land and building 859,386.00
Other comprehensive income of associates
- Revaluation of building 7,776.00
OTHER COMPREHENSIVE INCOME, NET OF TAX 3,434,415.00
TOTAL COMPREHENSIVE INCOME FOR THE YEAR NET OF INCOME TAX 16,110,625.00
Attributable to:-

Equity holders of the parent 15,464,337.00

Non-controlling interest 646,288.00
16,110,625.00
2015 2014 2013 2012
KShs000 KShs000 KShs000 KShs000
### ### ### ###
(13,586,911.00) (8,076,153.00) (5,915,809.00) (8,680,008.00)
19,783,128.00 19,134,515.00 15,869,248.00 13,581,079.00

9,501,834.00 8,714,867.00 7,160,979.00 6,064,983.00

(57,944.00) (136,782.00) (170,487.00) (64,544.00)
### ### ### ###

5,412,502.00 3,585,374.00 4,389,375.00 3,804,713.00

18,475.00 18,478.00 20,447.00 20,447.00
1,731,784.00 769,312.00 620,241.00 374,114.00
### ### ### ###
36,389,779.00 32,085,764.00 27,889,803.00 23,780,792.00

(2,019,295.00) (1,175,598.00) (778,157.00) 999,882.00

(399,950.00) (341,817.00) (178,201.00) 127,686.00
(606.00) (610.00) (611.00) 615.00
(1,825,444.00) (1,953,664.00) (1,528,961.00) 1,310,631.00
(8,927,128.00) (9,780,667.00) (8,013,780.00) 6,096,093.00
(8,219,255.00) (8,188,173.00) (6,883,017.00) 5,635,745.00
21,391,678.00 21,440,529.00 17,382,727.00 14,170,652.00
### ### ### ###

384,991.00 270,976.00 365,369.00 373,632.00

### ### ### ###

(3,677,533.00) (2,901,214.00) (1,764,259.00) (2,259,914.00)

11,705,559.00 8,014,997.00 9,108,186.00 7,723,858.00

### ### ### ###

416,790.00 (250,373.00) (125,095.00) 5,074.00

11,705,559.00 8,014,997.00 9,108,186.00 7,723,858.00

2.31 1.69 2.20 1.84

1.92 1.69 1.89

### 8,014,997.00 9,108,186.00 7,723,858.00

1,997,998.00

(1,026,494.00) 449,865.00 (180,334.00) -

 (1,890,682.00) 30,384.00 1,060.00 -
22,669.00 -
(40,270.00) - - -
- - -
- - - 85,652.00
- - 5,278.00
54,042.00 - - -
(2,903,404.00) 480,249.00 (156,605.00) 2,088,928.00
8,802,155.00 8,495,246.00 8,951,581.00 9,812,786.00

9,288,411.00 8,702,569.00 9,076,676.00 9,807,712.00

(486,256.00) (207,323.00) (125,095.00) 5,074.00
8,802,155.00 8,495,246.00 8,951,581.00 9,812,786.00
2011 2010 2009 2008
KShs000 KShs000 KShs000 KShs000
### ### ### ###
(4,505,915.00) (2,638,132.00) (2,294,340.00) (1,728,756.00)
9,618,690.00 9,502,508.00 7,053,755.00 5,695,892.00

5,569,407.00 4,384,518.00 3,415,474.00 3,219,099.00

(29,822.00) - - -
### ### ### ###

3,592,528.00 1,413,258.00 643,461.00 385,442.00

20,447.00 20,447.00 20,447.00 20,447.00
(465,221.00) 351,183.00 585,048.00 329,793.00
### ### ### 735,682.00
18,306,029.00 15,671,914.00 11,718,185.00 9,650,673.00

709,903.00 798,666.00 628,384.00 403,262.00

118,485.00 - - -
613.00 - - -
1,120,187.00 - - -
5,511,355.00 - - -
4,636,867.00 9,230,607.00 7,354,106.00 5,888,294.00
12,097,410.00 10,029,273.00 7,982,490.00 6,291,556.00
### ### ### ###

153,943.00 129,977.00 -
### ### ### ###

(999,960.00) (1,191,920.00) (767,733.00) (985,181.00)

5,362,602.00 4,580,698.00 2,967,962.00 2,373,936.00

### ### ###

5,390.00 12,118.00 (7,869.00)

5,362,602.00 4,580,698.00 2,967,962.00

1.53 1.31 0.85 0.80

1.31 0.85 0.80

5,362,602.00 4,580,698.00 2,967,962.00

(3,075,139.00)

- - -
 - - -
- - -
- 282,369.00 -
- - -

3,601.00 - -
-
(3,071,538.00) 282,369.00 -
2,291,064.00 4,863,067.00 2,967,962.00

2,285,674.00 4,850,949.00 2,975,831.00

5,390.00 12,118.00 (7,869.00)
2,291,064.00 4,863,067.00 2,967,962.00
2007
KShs000
###
(1,000,432.00)
4,849,668.00

2,909,127.00
-
###

417,950.00
20,447.00
78,664.00
517,061.00
8,275,856.00

699,891.00
-
-
-
-
5,257,440.00
5,957,331.00
###

###

(768,919.00)
1,549,606.00

0.54
0.54
 Consolidated Statement of Financial Positio
2016 2015 2014 2013 2012
ASSETS KShs000 KShs000 KShs000 KShs000 KShs000
Cash and balances with 25,682,704 29,455,691 22924932 19296488 22214066
Central
DepositsBank
and of Kenya
balances 5,017,303 13,977,237 12814862 10056793 8869700
due from banks
Held-for-trading 147 206 30510 30510 180834
investments
Held-to-maturity investments 37,158,762 36,154,555 24460192 13820482 3213925
Available-for-sale 24,758,146 28,771,869 21032444 25306913 29834423
investments
Derivative financial 126,776 621,737 191549 294266 0
Loans and advances to
instruments 232,307,329 208,571,920 178978586 137051537 119087748
customers
Investment in subsidiaries 0 0 1806449 1748494 240000
Investment in associate 2,409,297 2,267,230 755118 755118 755118
Other assets 13,242,438 12,130,498 8430687 8583559 4392927
Intangible assets 1,713,118 1,605,069 1363210 1311566 1892241
Prepaid lease rentals 36,352 36,964 37570 38180 38863
Property and equipment 8,308,698 8,020,778 9253832 10424834 8943111
Deferred tax asset 1,067,507 886,055 609156 56113 -
Tax recoverable - 99631 0
TOTAL ASSETS 351,828,577 342,499,809 282,689,097 228,874,484 199,662,956
LIABILITIES
Deposits and balances 3,411,977 3,421,219
due to banks 3241726 5462337 1065302
Customer deposits 260,153,437 265,398,587 216174313 174776225 162267227
Loans and borrowings 19,813,260 19,271,212 18269487 10252392 4572005
Tax payable 1,221,025 171,328 129171 - 581349
Provisions 141,281 110,191 92840 72841 62953
Other liabilities 5,968,630 4,306,703 2430440 2658642 1971461
Government grants 498,842 517,317 535792 554270 574717
Deferred tax liability 0 0 0 0 175713
TOTAL LIABILITIES 291,208,452 293,196,557 240,873,769 193,776,707 171,270,727
EQUITY ATTRIBUTABLE TO
EQUITY HOLDERS OF
Share
PARENTcapital 4,889,317 4,889,317 4889317 4190844 4190844
Share premium 2,889,789 2,889,789 2889789 3588262 3588262
Reserves 1,338,103 459,414 403408 407035 18517701
Capital grants 0 0 0 0 0
Retained earnings 48,208,633 39,574,445 31264374 25354077 0
Available-for-sale reserve (1,158,031) (1,870,841) -794062 -1255707 0
Statutory reserve 736,418 784,381 717844 717844 0
Foreign currency - (948,210)
translation reserve 0
Proposed dividends 3,911,453 3,911,453 2444658 2095422 2095422
60,815,682 49,689,748 41,815,328 35,097,777 28,392,229
Non-controlling interest (195,557) (386,496) 0 0 0
TOTAL EQUITY 60,620,125 49,303,252 41,815,328 35,097,777 28,392,229
TOTAL LIABILITIES & EQUITY 351,828,577 342,499,809 282,689,097 228,874,484 199,662,956
0 0 0 0 0
nt of Financial Position
2011 2010 2009 2008 2007
KShs000 KShs000 KShs000 KShs000 KShs000
14151049 14033477 8551464 6512684 6025266
7437710 6741854 4642338 5257320 3114655
164192 4062391 4416800 3725518 3278530
3850 9954855 22081293 9131520 9666552
21878102 20374111 - 55719 36819
0 0 0 0 0
109408815 86618311 62274194 52908543 38044772
280000 0 0 0 0
755118 256441 0 0 0
3777929 5315727 2399012 1481391 1834494
359197 586939 541265 249285 156335
39478 40091 40704 41317 41933
8672350 6355794 5651410 4052623 3107229
844600 - 79611 69935 17620
0 0 0 0 0
167,772,390 154,339,991 110,678,091 83,485,855 65,324,205

1881284 5348291 1010216 1225427 1422611

142704593 123878422 91518733 65853725 54775390
233940 138556 208827 303193 75658
65054 175582 110843 133789 233951
48156 56126 59176 272865 312505
1867744 4012728 1478704 2087715 2043809
595164 0 0 0 0
- 134177 0 0 0
147,395,935 133,743,882 94,386,499 69,876,714 58,863,924

3492370 3492370 3492370 3492370 2856450

4286736 4286736 4286736 4286736 -
11200401 10685700 7071328 4824292 2698362
0 615611 636058 656506 676953
0 0 0 0 0
0 0 0 0 0
0 0 0 0 0

0 0 0 0 0
1396948 1396948 698474 349237 228516
20,376,455 20,477,365 16,184,966 13,609,141 6,460,281
0 118744 106626 0 0
20,376,455 20,596,109 16,291,592 13,609,141 6,460,281
167,772,390 154,339,991 110,678,091 83,485,855 65,324,205
0 0 0 0 0
 Consolid

2016 2015
KShs000 KShs000

Cash generated from operating activities (2,256,914.00) 23,558,606.00

Tax paid (4,545,970.00) (3,923,452.00)

Net cash flows generated/used from operating activities (6,802,884.00) 19,635,154.00
INVESTING ACTIVITIES:-
Purchase of property and equipment (687,739.00) (631,099.00)
Purchase of intangible assets (595,352.00) (338,689.00)
Proceeds from disposal of property and equipment - 2,400.00
Purchase of held-to-maturity investments (12,436,612.00) (10,846,820.00)
Maturity of held-to-maturity investments ### ###
Investment in an associate/Subsidiary - (30,152.00)
Dividends from an associate 72,876.00 69,407.00
Net cash flows used in investing activities:- (2,214,422.00) (12,439,162.00)
FINANCING ACTIVITIES:-
Proceeds from issue of shares
Proceeds from borrowings 6,007,884.00 1,086,700.00
Repayment of borrowings (5,465,665.00) (1,820,787.00)
Dividends paid to equity holders of the parent (3,911,453.00) (2,444,658.00)
Net cash flows used in financing activities (3,369,234.00) (3,178,745.00)

Net movement in cash and cash equivalents ### 4,017,247.00

Effect of foreign exchange diVerences 3,887.00 (927,345.00)
Cash and cash equivalents at the beginning of the year ### ###
CASH AND CASH EQUIVALENTS AT 31 DECEMBER 16,985,780.00 ###
 Consolidated Statement of Cash Flows

2014 2013 2012 2011 2010

KShs000 KShs000 KShs000 KShs000 KShs000

13,559,297.00 11,963,084.00 13,704,979.00 (4,161,224.00) 13,958,159.00

(3,206,418.00) (2,679,178.00) (1,391,791.00) (1,310,283.00) (980,723.00)

10,352,879.00 9,283,906.00 12,313,188.00 (5,471,507.00) 12,977,436.00

(782,612.00) (3,018,173.00) (3,008,274.00) (3,482,813.00) (1,602,903.00)

(469,087.00) (664,028.00) (52,252.00) (118,426.00) (142,591.00)
8,797.00 12,150.00 10,324.00 9,589.00 32,625.00
### (13,784,364.00) (4,618,370.00) (193,447.00) (100,000.00)
### ### ### ### -
- - - (634,028.00) -
52,142.00 52,128.00 52,135.00 19,854.00 -
(11,805,893.00) (14,272,785.00) (6,178,151.00) 5,555,584.00 (1,812,869.00)

8,156,960.00 5,787,690.00 4,320,173.00 122,000.00 -

(293,995.00) (212,079.00) (113,322.00) (32,993.00) (70,271.00)
(2,095,422.00) (2,095,422.00) (1,396,948.00) (1,396,948.00) (698,474.00)
5,767,543.00 3,480,189.00 2,809,903.00 (1,307,941.00) (768,745.00)

### (1,508,690.00) 8,944,940.00 (1,223,864.00) 10,395,822.00

(54,776.00) (80,153.00) (73,286.00) 95,864.00 554,023.00
### ### ### ### ###
### ### ### ### ###
2009 2008 2007
KShs000 KShs000 KShs000

7,321,319.00 86,438.00 (738,016.00)

(800,320.00) (1,137,658.00) (733,044.00)

6,520,999.00 (1,051,220.00) (1,471,060.00)

(2,301,714.00) (1,321,955.00) (646,298.00)

(55,874.00) (144,678.00) (70,475.00)
25,827.00 6,873.00 3.00
- - -
- - -
(145,292.00) - -
- - -
(2,477,053.00) (1,459,760.00) (716,770.00)

4,922,656.00 -

62,000.00 227,535.00 -
(156,365.00) - -
(349,237.00) (228,516.00) (133,018.00)
(443,602.00) 4,921,675.00 (133,018.00)

### 2,410,695.00 (2,320,848.00)

99,168.00 493,581.00 414,221.00
### ### ###
### ### ###
 2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
 2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
 2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
 2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
HA
2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
 2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
 2016
ksh 000
Interest income 62,806,000
Interest expense (15,779,000)
NET INTEREST INCOME 47,027,000
Fees and commission income 13,319,000
Fees and commission expense (695,000)
NET FEES AND COMMISSION INCOME 12,624,000
Net foreign exchange income 5,494,000
Net income from financial instruments carried at fair value through profit or loss 0
Dividend income 0
Other operating income 4,331,000
TOTAL INCOME 69,476,000
Provision for impairment of loans and advances to customers (3,823,000)
Net operating income 65,653,000
Employee benefits (17,719,000)
Net impairment on financial assets -
Depreciation and amortization (2,428,000)
Other operating expenses (12,957,000)
Profit / Loss before tax and loss on monetary position 32,549,000
Loss on monetary position -3,458,000
Profit / Loss before income tax 29,091,000
Income tax expense -9,368,000
Profit for the year 19,723,000
ATTRIBUTABLE TO:
Owners of the parent 19,723,000
Earnings per share (KShs)
Basic earnings per share shs 6.46
Diluted earnings per share shs 6.46
Dividends (KShs millions)
Proposed final 9,198,000

CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME

Profit for the year 19,723,000
OTHER COMPREHENSIVE INCOME NET OF INCOME TAX:
Items that will not be reclassified subsequently to profit or loss
Re-measurement of defined benefit pension fund (297,000)
Related tax at 30% 89,000
(208,000)
Hyper Inflation translation 240,000
Items that are or may be reclassified subsequently to profit or loss
Exchange differences on translation of foreign operations 77,000
Available for sale financial assets:
Unrealized (loss)/gain arising from measurement at fair value (31,000)
Related tax at 30% - Current year 9,000
Related tax at 30% - Prior years under provision 0
Cumulatively realised gain arising from disposals made during the year
(22,000)
Other comprehensive income for the year, net of income tax 87,000
Total comprehensive income for the year 19,810,000
Attributable to:
Owners of parent 19,810,000
 KENYA COMMERCIAL BANK GROUP
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
2015 2014 2013 2,012 2011 2010
ksh 000 ksh 000 ksh 000 ksh 000 ksh 000 ksh 000
56,442,500 47,478,416 41,613,399 43,082,218 27,902,652 23,109,793
(17,147,978) (11,527,020) (8,629,113) (12,445,986) (4,616,241) (3,464,468)
39,294,522 35,951,396 32,984,286 30,636,232 23,286,411 19,645,325
14,159,989 12,739,217 10,500,837 9,612,985 9,184,839 6,788,580
(1,057,638) (796,416) (568,089) (539,173) (455,392) (306,155)
13,102,351 11,942,801 9,932,748 9,073,812 8,729,447 6,482,425
4,067,466 4,149,902 3,942,186 3,688,137 3,607,836 2,775,494
(58,567) (2,701) 0 - - -
1,112 103 12,009 13,709 26,157 1,185
2,620,183 3,142,260 991,249 647,448 854,794 424,379
59,027,067 55,183,761 47,862,478 44,059,338 36,504,645 29,328,808
(2,178,699) (3,088,593) - (2,098,035) 452,957 (1,117,896)
56,848,368 52,095,168 52,095,168 41,961,303 36,957,602 28,210,912
(15,310,898) (13,993,445) (13,469,900) (11,861,196)
- (995,643) - - -
(2,435,448) (2,387,942) (2,679,320) (2,295,059) - -
(12,564,449) (11,926,352) (10,593,856) (10,596,905) (21,828,228) (18,412,941)
26,537,573 23,787,429 20,123,759 17,208,143 15,129,374 9,797,971
- - - - - -
26,537,573 23,787,429 20,123,759 17,208,143 15,129,374 9,797,971
(6,914,502) (6,938,567) (5,782,377) (5,004,612) (4,148,328.00) (2,619,998)
19,623,071 16,848,862 14,341,382 12,203,531 10,981,046 7,177,973

19,623,071 16,848,862 14,341,382 12,203,531 10,981,046 7,177,973

Shs 6.49 Shs 6.49 shs 4.82 4 3.72 3

Shs 6.49 Shs 6.49 shs 4.82 4 3.72 3

6,050,000 6,050,000 0 1,900,000 1,850,000 1

19,623,071 16,848,862 14,341,382 12,203,531 10,981,046 7,177,973

(1,092,000) (254,000) 727,000 1,191,000

327,600 76,200 (218,100) (357,300)
(764,400) (177,800) 508,900 833,700
- -

(6,154,131) 904,406 (736,114) 97,273 (193,666) (278,084)

(1,477,234) 30,942 (78,581) 1,898,331 (2,208,502) 14,558
443,170 (9,283) 0
0 49,019 -
(137,110)
(1,034,064) 70,678 (78,581)
(7,952,595) 797,284 (305,795) 2,829,304 2,402,168 (400,636)
11,670,476 17,646,146 14,035,587 15,032,835 8,578,878 6,777,337

11,670,476 17,646,146 14,035,587 15,032,835 8,578,878 6,777,337

2,009 2008 2007 2,006
 KENYA COMMERCIAL BANK GROUP
CONSOLIDATED STATEMENT OF FINANCIAL
2016 2015 2014 2013
Sh. "000" Sh. "000" Sh. "000" Sh. "000"
ASSETS
Cash and balances with Central Banks 56,920,000 68,219,000 71,458,780 33,940,577
Loans and advances to banks 16,018,000 20,287,000 13,177,999 10,402,010
Financial assets held for trading - 806,000 1,115,943 6,241,984
Financial assets available-for-sale 61,968,000 38,298,000 37,193,646 39,220,350
Clearing house 950,000 892,000 636,020 789,203
Other assets and prepayments 15,703,000 10,166,000 9,205,027 9,949,880
Loans and advances to customers (Net) 385,745,000 345,969,000 283,732,205 227,721,781
Financial assets held to maturity 40,502,000 57,844,000 58,888,386 47,533,782
Tax recoverable 217,000 161,000 183,283 740,020
Property and equipment 9,373,000 9,028,000 8,838,074 8,484,836
Intangible assets 3,167,000 1,428,000 1,374,215 1,403,180
Prepaid operating lease rentals 134,000 137,000 139,110 141,642
Retirement benefit asset 811,000 980,000 1,835,000 1,837,000
Deferred income tax 3,732,000 3,879,000 2,560,636
TOTAL ASSETS 595,240,000 558,094,000 490,338,324 388,406,245
LIABILITIES AND EQUITY
LIABILITIES
Deposits from banks 13,123,000 23,138,000 14,295,619 6,650,977
Deposits from customers 448,174,000 424,391,000 377,271,886 305,659,189
Bills payable 2,277,000 1,527,000 1,548,979 1,533,857
Other liabilities and accrued expenses 11,082,000 7,240,000 8,721,507 5,753,565
Deferred tax liability 166,000 100,000 - -
Tax payable 870,000 314,000 131,928 179,377
Retirement benefit liability - - - -
Borrowings 22,982,000 20,130,000 12,734,848 7,719,647
Total liabilities 498,674,000 476,840,000 414,704,767 327,496,612
Share capital 3,066,000 3,025,000 3,025,213 2,984,228
Share premium 21,647,000 20,136,000 20,135,561 -
Regulatory reserve 10,240,000 8,948,000 5,264,936 -
Other reserves (6,998,000) (7,085,000) 867,800 60,370,739
` 59,413,000 50,180,000 46,340,047 -
Proposed dividend 9,198,000 6,050,000 - -
Total equity 96,566,000 81,254,000 75,633,557 63,354,967
TOTAL LIABILITIES AND EQUITY 595,240,000 558,094,000 490,338,324 390,851,579
 BANK GROUP
TEMENT OF FINANCIAL POSITION
2012 2011 2010 2009 2008 2007
Sh. "000" Sh. "000" Sh. "000" Sh. "000" Sh. "000" Sh. "000"

36,419,912 42,708,016 26,997,823

10,421,565 25,812,084 10,211,008
2,923,263 367,938 847,876
15,916,877 9,204,501 5,862,488
1,107,088 1,434,999 -
5,918,015 5,273,392 5,002,289
211,664,226 198,724,919 148,113,364
70,451,164 36,432,197 43,398,134
10,598 20,557 11,009
8,895,573 8,017,595 8,271,647
1,173,945 1,516,684 1,368,385
146,941 147,801 145,893
1,049,000 - -
1,920,618 1,003,276 1,126,284
368,018,785 330,663,959 251,356,200

9,333,589 14,105,149 11,056,967

288,037,367 259,308,849 196,974,651
888,337 731,796 -
4,728,035 3,294,966 2,356,968
- - 121
1,813,086 119,372 1,837,722
- 92,000 -
8,923,312 8,525,000 -
313,723,726 286,177,132 212,226,429
2,970,340 2,968,746 2,950,260
- - -
- - -
51,324,719 41,518,081 32,491,686
- - -
- - 3,687,825
54,295,059 44,486,827 39,129,771
368,018,785 330,663,959 251,356,200
2014 2015 2016
2006 Kshs million Kshs million
 2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
paraa
2010 2011 2012
Kshs millioKshs millioKshs millio
 2013 2014 2015 2016
Kshs millioKshs millioKshs millioKshs million
 Consolidated Income St
2016 2015
KShs 000 KShs 000
Interest income 25,570,542 22,608,602
Interest expense -6,647,746 ###

Net interest income 18,922,796 17,601,462

Fee and commission income 5,034,152 4,535,263

Fee and commission expense (499,868) (385,851)

Net fee and commission income 4,534,284 4,149,412

Net trading income 3,829,230 2,598,054

Other operating income 109,042 465,426

Total 3,938,272 3,063,480

OPERATING INCOME 27,395,352 24,814,354

Staff costs (7,179,560) (6,218,282)

Premises and equipment costs (974,178) (790,171)

General administrative expenses (3,168,925) (3,084,908)

Depreciation and amortisation (906,312) (969,414)

OPERATING EXPENSES (12,228,975) (11,062,775)

OPERATING PROFIT BEFORE IMPAIRMENT LOSSES AND TAXATION 15,166,377 13,751,579

Net impairment losses on loans and advances (1,878,258) (4,591,647)

PROFIT BEFORE TAXATION 13,288,119 9,159,932

INCOME TAX EXPENSE (4,238,812) (2,817,505)

NET PROFIT FOR THE YEAR 9,049,307 6,342,427

BASIC AND DILUTED EARNINGS PER SHARE (KShs) (2015 restated) 25.85 17.97

NET PROFIT FOR THE YEAR 9,049,307 6,342,427

OTHER COMPREHENSIVE INCOME

Items that will not be reclassified to profit or loss

Actuarial losses on retirement benefit obligations (76,901) (7,960)

Deferred tax on actuarial gains on retirement benefit obligations 23,070 2,388

(53,831) (5,572)

Items that may subsequently be reclassified to profit or loss

Change in fair value of available-for-sale investments ### (401,575)

Deferred tax on change in fair value of available-for-sale investments (191,470) 120,473

 ### -281,102

TOTAL OTHER COMPREHENSIVE INCOME FOR THE YEAR ### -286,674

TOTAL COMPREHENSIVE INCOME FOR THE YEAR 9,442,239 6,055,753

dated Income Statement
 Consolidated Statement of Financial
2016 2015
ASSETS KShs 000 KShs 000
Cash and balances with Central Bank of Kenya 15,513,554 14,240,581

Government and other securities held for trading 4,780,246 5,709,525

Derivative financial instruments 554,026 688,538

Loans and advances to banks 1,566,035 3,190,915

Loans and advances to customers 122,711,038 115,125,427

Investment securities 82,218,712 67,911,422

Tax recoverable 7,168 178,494

Other assets 3,228,954 2,645,363

Amounts due from group companies 14,151,412 17,857,239

Non-current assets held for sale 47,360 140,644

Property and equipment 2,938,391 3,124,400

Intangible assets 2,457,419 2,905,991

Prepaid operating lease rentals 243,980 246,908

Deferred tax asset 63,705

TOTAL ASSETS 250,482,000 233,965,447

LIABILITIES AND SHAREHOLDERS EQUITY

Liabilities

Deposits from banks 3,046,415 4,293,413

Deposits from customers 186,598,226 172,036,056

Derivative financial instruments 252,921 458,669

Tax payable 1,128,697 37,049

Other liabilities 4,592,017 5,491,512

Amounts due to group companies 10,174,520 10,355,723

Deferred tax liability 29,036

Retirement benefit obligations 85,376 12,204

TOTAL LIABILITIES 205,878,172 192,713,662

Shareholders equity (Page 50-51)

Share capital 1,997,553 1,825,798

Share premium 7,792,427 7,792,427

Capital contribution reserve 1,870,305 1,866,484

Revaluation reserve 457,041 515,790

Fair value reserve 273,932 (172,831)

Statutory credit risk reserve 568,868 618,797

Retained earnings 26,750,324 24,856,136

Proposed dividends 4,893,378 3,949,184

TOTAL SHAREHOLDERS EQUITY 44,603,828 41,251,785

TOTAL LIABILITIES AND SHAREHOLDERS EQUITY 250,482,000 233,965,447

of Financial Position
Consolidated Statement of Cash Flows
2016 2015
KShs 000 KShs 000
Net cash (used in)/from operating activities (5,201,267) 27,718,885

Cash flows from investing activities

Purchase of property and equipment (261,997) (180,381)

Proceeds from sale of non-current asset held for sale 181,323 344,465

Proceeds from sale of property and equipment 241

Proceeds from sale of motor vehicle 4,333 3,300

Purchase of intangible assets (13,075) (211,364)

Net cash used in investing activities (89,416) (43,739)

Cash flows from financing activities

Share-based payments:

2015/2014 settled (42,811) (81,242)

2016/2015 allocated during the year 46,632 42,811

Dividends paid on ordinary shares:

Final 2015/2014 (3,864,494) (3,864,494)

Interim 2015 (1,391,217)

Interim 2016 (2,061,063)

Dividends paid on preference shares:

Final 2015/2014 (84,690) (84,690)

Interim 2015 (83,310)

Interim 2016 (83,770)

Net cash used in financing activities (7,564,723) (3,987,615)

(Decrease)/increase in cash and cash equivalents (12,855,406) 23,687,531

Cash and cash equivalents at 1 January 29,497,242 5,809,711

Cash and cash equivalents at 31 December 16,641,836 29,497,242