Kenya: DIB launches mobile banking platform

Dubai Islamic Bank Kenya is embracing digital transformation to bolster its market presence in the corporate banking sector.

As a subsidiary of Dubai Islamic Bank, the lender has announced the launch of a new corporate internet banking platform. This platform will offer a comprehensive suite of features designed to enhance security, efficiency, and the overall user experience.

“Our investment in enhancing the digital infrastructure underscores our commitment to providing innovative banking solutions that drive growth for the Bank,” said Kanuku.

“By embracing the digital revolution, we aim to set new standards in the digital banking space while contributing to the broader economic development of Kenya,” she added.

This initiative is a key component of the bank’s growth strategy, which aims to meet the rising demand for Shariah-compliant banking solutions and services.

Mary Kanuku, the head of treasury at DIB Bank Kenya and representative of the CEO’s office, expressed strong confidence in the anticipated digital revolution and highlighted the bank’s foresight in advancing Shariah banking penetration in the country.

In May 2017, DIB Bank Kenya opened its doors to establish and promote a sustainable and ethical financing model that conforms to islamic law.

Notably, the bank saw its first profit this year, seven years after launching its operations in the country, according to its quarter one results for 2024.

The bank’s performance during the three months surged with profit before tax growing by 105 per cent to Sh6.3 million in the year-on-year analysis.

This was compared to a loss position of Sh 125 million posted by the Sharia-complaint bank in the same period last year.

The bank says the growth was driven by rising core revenues, non-funded income, and lower impairment charges.

Additionally, the bank’s customer-centric approach, extensive customer feedback, and market research were a major driving factor for the profits posted.

Likewise, the balance sheet expanded by 49 per cent year-on-year to Sh28.2 billion, compared to Sh18.8 billion, supported by growth in customer deposits.

For instance, customer deposits across all segments expanded by 49 per cent to hit Sh21.6 billion.

According to Statica’s Digital Banking 2024 report, the digital banks market is expected to witness a significant increase in Net Interest Income, reaching $255.6 million (Sh32.9 billion) by the end of 2024.

This projection indicates a positive growth trend for Net Interest Income, with an estimated annual growth rate of 5.25 per cent, expected from 2024 to 2029.

Additionally, experts prospects say by the end of 2029, the market volume is anticipated to reach $330.10 million (Sh42.6 billion).