NBK nets Sh2.5bn from its wealthy customers

National Bank of Kenya (NBK) #ticker:NBK says that premium banking has helped it attract Sh2.5 billion additional new business since launch in 2015, underscoring the growing focus of lenders on high net-worth individuals.

The bank said last Friday during customer appreciation cocktail at the Yaya Centre, Nairobi, it wants to deepen its premium banking and net in new customers.

Managing director Wilfred Musau said the niche has become core for the lender’s growth, making it crucial to use strategic approaches to address changing needs of such clients.

“The launch of our premium banking centres and products is one of the key transformational initiatives of the bank aimed at driving future growth,” he said.

Premium banking targets salaried employees, business owners, affluent personalities and self-employed professionals.

Apart from Yaya Centre, other premium centres are found at Harambee Avenue and Kenyatta Avenue in Narobi as well as in Kisumu, Eldoret, Mombasa and Nyeri.

The bank said these branches have attracted about 2,000 high-net worth clients with key interests being in investments.

Sh120,000-500,000 gross income

When it launched in Nyeri last year, NBK said it was targeting clients with a gross income of between Sh120,000 and Sh500,000 monthly. It also offered 100 per cent financing on their first mortgage.

Premium bank account holders access free services such as ATM cards, withdrawals from NBK ATMs, cheque book, banker’s cheque and real-time gross settlement service.

The account holders also have access to platinum international debit cards and credit cards.

Other benefits include priority pass, which enables access to exclusive premium lounges.

The banking industry’s competition for deep-pocketed clients has been intensifying, with more banks opening similar outlets.

Premium banking has increasingly become a favoured option by lenders to grow their income in an increasingly competitive market.