Development Bank of Kenya
Encyclopedia
Development Bank of Kenya (DBK), is a commercial bank
Commercial bank
After the implementation of the Glass–Steagall Act, the U.S. Congress required that banks engage only in banking activities, whereas investment banks were limited to capital market activities. As the two no longer have to be under separate ownership under U.S...

 in Kenya
Kenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...

. It is one of the forty-four (44) banks licensed by the Central Bank of Kenya
Central Bank of Kenya
The Central Bank of Kenya is Kenya's central bank. The bank is located in Nairobi. The current governor of the bank is Professor Njuguna Ndungu whose appointment took effect from March 4, 2007...

, the national banking regulator.

Overview

DBK is a medium-sized financial institution providing an array of financial services to both individuals and businesses. , the total asset valuation of the bank was in excess of US$97 million, with shareholder's equity in excess of US$16 million.

History

Development Bank of Kenya was established in 1963 as a non-banking financial institution. Its primary focus at that time was to promote and develop commercially viable projects in Kenya
Kenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...

. In 1964, DBK began financing development projects as a Development Finance Institution (DFI). As part of the banking reforms of 1996, DBK converted to a commercial bank and began accepting customer deposits.

Ownership

Shareholding in DBK at its inception included (a) the Government of Kenya, through the Industrial and Commercial Development Corporation (ICDC), (b) the British Government
Government of the United Kingdom
Her Majesty's Government is the central government of the United Kingdom of Great Britain and Northern Ireland. The Government is led by the Prime Minister, who selects all the remaining Ministers...

, through Commonwealth Development Corporation
Commonwealth Development Corporation
The Commonwealth Development Corporation, now known as CDC Group plc, is a British development organisation owned by the UK Government...

 (CDC) and (c) the Government of Germany, through the German Investment Corporation
German Investment Corporation
Deutsche Investitions- und Entwicklungsgesellschaft translates into German Investment Corporation. DEG is a member of KfW Bank Group , an arm of the government of the Federal Republic of Germany....

 (DEG).

In 1967, the Dutch Government
Politics of the Netherlands
The politics of the Netherlands take place within the framework of a parliamentary representative democracy, a constitutional monarchy and a decentralised unitary state. The Netherlands is described as a consociational state...

, through the Netherlands Development Finance Company (FMO), became the fourth shareholder. In 1981, the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...

, through the International Finance Corporation
International Finance Corporation
The International Finance Corporation promotes sustainable private sector investment in developing countries.IFC is a member of the World Bank Group and is headquartered in Washington, D.C., United States....

 (IFC), became the fifth shareholder. Over the years, the non-Kenyan shareholders have divested from the bank and shareholding in DBK is as depicted in the table below:

{| style="font-size:100%;"
|-
| width="100%" align="center" | Development Bank of Kenya Stock Ownership
|- valign="top"
|
{| class="wikitable sortable" style="margin-left:auto;margin-right:auto"
! style="width:2em;" |Rank !!Name of Owner!!Percentage Ownership
|-
|1|| Industrial and Commercial Development Corporation (ICDC)|| 89.3
|-
|2|| Transcentury Limited||10.7
|-
| ||Total||100.00
|-
|}

Branch network

, the bank maintains its headquarters in Nairobi
Nairobi
Nairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...

, Kenya's capital and largest city. It has one branch on the ground floor of its headquarters building.
  • Main Branch - Finance House, Loita Street, Nairobi
    Nairobi
    Nairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...


External links

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