Transport and communication sector, however, posted the highest drop in bad debt at 31.1 per cent to Sh17.98 billion. Banks, however, cut loans to households – the highest sector by loan volumes – by Sh20.4 billion to Sh553.1 billion in March from Sh573.5 billion in December. The banking industry posted a marginal 2.94 per cent growth in profit before tax to Sh38.4 billion in the first quarter of the year, slowed by rising bad debt. Bad debt grew highest in real estate sector at 42.3 per cent quarter-on-quarter to Sh19.78 billion due to a slowdown in demand for finished units, the CBK said. Meanwhile, about 53.2 per cent of the country’s wealth was held in public and publicly guaranteed debt in March, fresh data by the

Source: The Star July 05, 2016 02:03 UTC