Prime Bank Limited (PBL) is one of Kenya's leading private commercial banks, with a strong presence in the market for its flexible, efficient and personalized financial services. Here's a detailed analysis of the bank, covering its basic information, financial health, products and services, fee structure, digital experience, customer service, security measures, unique services, and market position.
PBL
is a private commercial bank established in 1992 and initially operated as a non-bank financial institution as Credit Kenya Limited, which was licensed as a commercial bank and renamed PBL in 1995. The headquarters are located at Riverside Drive, Prime Bank Head Office, Nairobi, Kenya. Shareholders include local and international investors, such as A. The R. Al-Amin Group, whose shareholding is not disclosed and is not listed on the Nairobi Stock Exchange (NSE), reflects its private nature.
PBL's services cover the whole of Kenya with 21 branches in Nairobi, Mombasa, Eldoret, Kisumu, Kittale, Meru, Nakuru and Thika. The bank provides convenient cash withdrawals through the 1Link ATM network, enhancing financial accessibility for customers in urban and remote areas.
Regulation &
CompliancePBL is regulated by the Central Bank of Kenya (CBK) [www.centralbank.go.ke]. The bank participates in the Kenya Deposit Insurance Corporation (KDIC) scheme, which protects customer deposits up to Ksh100,000 (approximately US$800), in compliance with the Deposit Insurance Act. There have been no recent major compliance issues, indicating stable operations.
Financial healthSince PBL is a private bank, specific financial indicators such as capital adequacy ratio, non-performing loan ratio and liquidity coverage ratio are not disclosed in detail in public information. According to the Central Bank of Kenya, the capital adequacy ratio of the Kenyan banking sector averaged 19.0% in December 2022, higher than the regulatory minimum requirement of 14.5%, indicating that the industry is generally robust. As a mid-sized bank, PBL expects its capital adequacy ratio to be close to or above this level. The non-performing loan ratio of Kenya's banking sector rose to 14.5% in 2023 from 13.6% in 2022, and PBL is likely to face a similar trend due to higher interest rates and public sector debt defaults. In terms of liquidity ratio, the Kenyan banking sector stood at 62.9% in December 2022, well above the regulatory requirement of 20%, and the liquidity position of PBL should be similarly robust.
As of December 2017, PBL's total assets were approximately Ksh77,998 million (approximately US$784.2 million) and shareholders' equity was approximately Ksh14,672 million (approximately US$147.5 million). In July 2018, PBL ranked 15th out of 43 Kenyan banks by total assets, with a market share of 1.82%, with 24,000 deposit accounts and 4,000 loan accounts.
Deposit & Loan Products
Deposit
PBL offers a variety of deposit products to meet the needs of individual and corporate customers:
- Current Account: including Business Current Account and Personal Current Account, which supports daily transactions and is interest-free.
- Savings accounts: such as Faida Account, which offers competitive interest rates, which need to be checked through your bank.
- Fixed Deposit Account: includes Fixed Deposit Account with a term from 1 month to 5 years, and the interest rate depends on market conditions and the deposit amount.
- Featured product:D iaspora Account is designed for Kenyan expatriates and supports multi-currency transactions.
LoansPBL offers a wide range of loan products covering personal and business financing needs:
- Mortgage loans: support the purchase or construction of a home, with fixed or variable interest rates, the specific interest rate needs to consult the bank.
- Car Loans: Support for the purchase of new or used cars, with flexible terms and a maximum financing amount based on the customer's credit assessment.
- Personal Loans: Includes Unsecured Personal Loans, which meet short-term funding needs, with interest rates determined based on market conditions.
- Flexible repayment options: Early repayment, deferred repayment or adjustment of repayment plan are supported, and customers can apply through the PrimeNet platform.
Digital Service
ExperiencePBL provides advanced digital services to enhance the customer experience:
- APP & Online Banking:
- The mobile banking app:P rimeMobi is available for iOS and Android, and features include balance inquiry, fund transfer, phone bill top-up, PesaLink, bill payment, and ATM/branch locator.
- Online Banking: Available through [PrimeNet Internet Banking], it supports account management, transfers, and loan applications.
- Core features: real-time transfers, bill payments, M-Pesa transfers, account management.
- Technological innovation: AI customer service or robo-advisors are not explicitly disclosed, but biometric logins and open banking APIs are supported.
Customer Service
QualityPBL is committed to providing high-quality customer service:
- Service Channels: 24/7 phone support (+254 20 420 3000)
- Multi-language support: English and Kiswahili are supported, suitable for local and cross-border customers.
Security measures
Securityof funds
Customer deposits are secured by the Kenya Deposit Insurance Corporation (KDIC) up to a maximum of Ksh 100,000. PBL uses anti-fraud technologies such as real-time transaction monitoring and biometric authentication to ensure the safety of funds.
Featured & Differentiated
PBL stands out in the market through the following features:
- Market Segments:
- Youth Account: Youth Banking program with no fees and encourages young customers to save.
- Women's Bank: A Women in Business program that provides financial support specifically for women entrepreneurs.
- High Net Worth Services: Provide customized financial solutions for high net worth clients through Prime Capital & Credit Limited.
- Other features: Enhance the diversity of financial products by providing insurance services through Tausi Assurance Limited.
Market Position & Accolades
PBL is a significant player among Kenyan mid-sized banks, ranking 15th out of 43 banks in terms of total assets in 2018 with total assets of approximately Ksh7.998 billion and a market share of 1.82%. The bank expands its regional presence through operations in Malawi, Botswana, Mozambique, Zambia and Zimbabwe. PBL has received multiple industry recognitions, including:
- Think Business Banking Awards "Best Bank for Customer Service"
- "Best Bank for Product Innovation"
- "Best SME Bank"
Summary
Prime Bank Limited is a customer-centric, private commercial bank that occupies a significant position in Kenya's banking industry with its flexible financial products, extensive branch network and digital services. The bank offers a wide range of deposit and loan products, combined with the PrimeMobi mobile app and PrimeNet online banking, to meet the needs of individuals, SMEs and high-net-worth customers. Although some financial metrics and fee details are not disclosed, PBL's robust regulatory compliance, customer-oriented service, and excellence in customer service make it a trusted financial partner in Kenya.
