The State Bank of Mauritius (SBM) has announced plans to close five of its branches in Kenya citing proximity to client locations.
In a statement on Thursday, SBM bank said the review of branch distribution is necessary to rationalize its potential client activity and other related services required.
The bank, which entered the Kenyan market in May 2017 through acquisition will close its Ngara branch, Dagoretti Express, Lunga Lunga Branch, and Jomvu Express on December 12.
The Moi Avenue Branch in Mombasa will also be closed on December 30.
“Account holders in these branches will continue to enjoy uninterrupted services through the alternative branches,” SBM bank said in the statement.
The bank is owned by SBM Holdings Ltd based in Mauritius (SBM Group-majority owned by the government of Mauritius and associated entities).
In May this year, SBM Bank (Kenya) Limited reported a Sh66 million profit before tax for the first quarter of 2020 amid  a 7.7 per cent increase in operating income year-on-year.
The growth in business was largely achieved through growth in loans and advances and customer deposits, the lender said.
Net loans and advances increased from Sh13.04 billion to Sh20.87 billion year-on-year, a growth of 60 per cent.
Customer deposits increased to Sh55.7 billion from Sh51.3 billion , reflecting a growth of nine per cent, as the lender affirms steady business three years into its operations in Kenya.