News Column

Bank of Kigali Shareholders Okay Rwf7.4 Billion Dividend Payment

June 2, 2014

Ben Gasore

Shareholders of Rwanda Stock Exchange-listed Bank of Kigali approved a Rwf7.4b dividend payout for last year. This is a dividend of about Rwf11.06 per share or 3.5 per cent dividend yield, based on the current share price of Rwf314.

The dividend, which is a 70.2 per cent increase compared to last year's Rwf6.5 per share, will be paid on June 27 to shareholders who will have registered by June 13.

Speaking during the shareholders' annual general meeting at the Kigali Serena Hotel, the Bank of Kigali chief executive officer, James Gatera, said the bank's good performance last year made it possible for them to pay shareholders a better dividend. The bank's net income rose by 25.4 per cent to Rwf14.8b from Rwf11.8b, largely driven by expansion of its loan book and increase in interest fees and commissions.

As of December 31, 2013, the bank's total assets rose by 30.9 per cent to Rwf422.4b from Rwf322.8b, while its net interest income grew by 47.9 per cent to Rwf35.2b, from Rwf23.8b in 2012. Its loan book grew by 7.5 per cent to Rwf199b from Rwf185.1b the previous year. Gatera said the dividend payout was a half of the profits the bank made, noting that the rest of the money would be ploughed back into the firm to reach the unbanked segment.

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Source: AllAfrica