Consolidated Bank taps ex-KCB director as CEOFriday November 18 2022
Consolidated Bank of Kenya has picked former KCB Bank Kenya director for mortgage business Sam Muturi as the new chief executive effective Friday last week, the board has announced.
Mr Muturi has over 25 years of working experience in banking primarily obtained from KCB Bank Kenya.
He takes over the struggling State-lender from Japheth Kisilu, who had been appointed to the position in an acting capacity.
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Mr Kisilu, who joined the Consolidated Bank in 2004 as the chief accountant, is now the lender’s chief commercial officer.
“Sam Muturi joined Consolidated bank as the chief executive officer on October 11, 2022. He joins the bank from Kenya Commercial Bank where he was the director, of the mortgage business,” said the bank in a recent update.
Mr Muturi has previously worked at KCB Bank Kenya in various positions and gained valuable experience in leadership and supervision, credit analysis and management, policy and compliance and risk management, among others.
He holds a Master of Business Administration degree from the University of Nairobi and a Bachelor of Arts degree in Economics and Business Studies from Kenyatta University.
Mr Muturi is joining Consolidated Bank of Kenya at a time the lender has been relying on bailouts from the Treasury amid piling losses. The bank has expressed intent of requesting more funds from the government.
The bank said in its 2021 annual report that capital remains a challenge and it was keen on addressing the capital challenges by engaging its majority shareholders, the Treasury and National Social Security Fund.
This, the bank says is to ensure compliance with the regulatory requirements and support future growth as per the Bank’s strategy.
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The lender sunk further into losses in 2021 with a Sh 299.5 million loss from Sh 278.3 million in 2020 to record a Sh 3.2 billion cumulative loss.
The bank’s capital adequacy ratio stood at 5.3 per cent by December last year, in breach of the Central Bank of Kenya (CBK) minimum threshold of 14.5 per cent.
The commission has previously tried to sell Consolidated Bank of Kenya and hired PKF Consulting to help the lender through an internal restructuring.