Co-operative Bank Breaks The Norm To Open 7 New Branches

Mco-opCash mobile wallet has registered 5.3 million users and disbursed 51.3 billion shillings in loans.

 Co-operative Bank Breaks The Norm To Open 7 New Branches

The Co-operative Bank of Kenya is set to open 7 new branches. This is contrary to other industry players who have been shutting down physical branches to concentrate on mobile banking. The 7 new branches will bring the total number of Co-operative Bank branches to 180 in Kenya.

Seven new Co-op Bank branches are underway in carefully-selected locations namely:

  • Kamakis on Nairobi’s Eastern Bypass

  • Kabarnet

  • Iten

  • Moyale

  • Mwiki/Kasarani

  • Bunge at the new Parliament Tower in Nairobi

  • Kamulu in Nairobi Eastlands

According to a statement from Co-op, the expansion of brick and mortar presence will complement the bank’s robust Digital Banking channels that continue to grow in popularity to now handle over 90 percent of customer transactions.

Director Retail & Business Banking William Ndumia presents a gift to Mr. who was the first client to open an account after the official opening of the Co-op Kamulu branch Mr. Joseph Kimathi Ndegwa. Looking on is the bank’s Head of Branch Banking Peter Kirugu.

Currently, Mco-opCash mobile wallet has registered 5.3 million users and disbursed 51.3 billion shillings in loans at the close of the third quarter of last year, averaging 5.7 Billion shillings per month.

The decision to determine the need and location of new branches is determined through rigorous market research.

The new branches do not typically increase staff headcount as they are usually staffed from existing teams, following the branch transformation and digitization program implemented under the Soaring Eagle project that has enabled agile resourcing of the business.

Banks have been making cost savings by rolling back their branch network as some customers prefer to use online banking services, what informs the decision to buck this trend and open new branches?

Why physical branches when other players are cutting down? Co-op’s Reply

Mr. William Ndumia; Director Retail & Business Banking William Ndumia presents a gift to a customer Geoffrey Gitau Kimani as Head of Branch Banking Peter Kirugu looks on.

The selection of branch sites is always supported by rigorous market research to ensure viability, for which reason we’ve never closed a branch in our 50-year history. Co-op Bank’s new branches give us an insight into emerging centers of economic activity that are currently underserved by banks.

The emerging theory that bank branches and ATMs will cease to exist is largely wishful thinking driven by desires to cut brick and mortar costs, and not by credible customer feedback on the service outlets through which customers prefer to be served.

Co-op Bank branches are Service Hubs, as they serve not just own customers, but also service the bank’s subsidiary network including Saccos especially those running FOSAs now numbering 479 countrywide, and 23,000 bank agents who depend on our cash management services, training, and supervision to run.

The advent of Devolution and the establishment of County Governments has fostered a totally new economic dynamic with counties emerging as new centers of economic dynamism. Co-op Bank has a County Banking Strategy aimed at building competencies to serve the unique needs of the various counties and communities.

The ongoing migration of routine bank transactions such as cash withdrawals, deposits, and payments to alternative channels offers banks the space for deeper engagements with customers and the wider community. This includes more focus on customer advisory, consultancy, and training, to build lifelong relationships, brand immersion, and sustainable value-add to the communities in which we do business.

About Post Author

Related News

How Co-op Bank Can Finance Your Business Without Giving You A Loan

How Co-op Bank Can Finance Your Business Without Giving You A Loan

Running a business in Kenya is not a walk in the park. It needs sacrifice, sweat,…
Co-op Bank’s Half Year Profits Up 55% To Ksh 11.5 Billion

Co-op Bank’s Half Year Profits Up 55% To Ksh 11.5 Billion

The Co-operative Bank of Kenya made 11.5 billion shillings in half-year profits to June, a 55.4…
Top 8 Business Loans For MSMEs From Co-op Bank

Top 8 Business Loans For MSMEs From Co-op Bank

The Co-operative Bank of Kenya has various products that are tailored toward supporting MSMEs in Kenya.…

3 Comments

Comments are closed.