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National Bank says it lost Sh300m to fraudsters

National Bank chief executive Wilfred Musau. FILE PHOTO | NMG
National Bank chief executive Wilfred Musau. FILE PHOTO | NMG 

The National Bank of Kenya (NBK) #ticker:NBK suffered losses estimated at Sh300 million last year orchestrated by fraudulent employees and cybercrime attacks, the lender has disclosed.

It says, in its latest annual report, that “operational losses including fraud losses (were) recorded at 3.0 per cent of total revenue made in 2016.”

The NBK did not respond to our queries on the exact loss in the year attributable to fraud, but the Sh11 billion revenue in the year to December 2016 means it could have taken a hit of up to Sh330 million.

The bank defines operational risks as “potential loss resulting from inadequate or failed internal processes, people, and systems or from external events such as terrorist attacks, flooding etc.”

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