The time is ripe for bank consolidation

Too many small banks and the fragmentation is why we don’t have a working active horizontal repo market. FILE PHOTO | NMG

We have just witnessed the biggest merger in the banking sector’s history. Commercial Bank of Africa and NIC Bank recently published their last regulatory disclosures as separate banks. Next time, they will be reporting as one big bank.

Even within the broader corporate sector, I can’t remember - and I stand to be corrected - a merger of such scale. You can cite the case of Kenya Commercial Bank and the National Bank.

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Note: The results are not exact but very close to the actual.