Co-op Bank In An Ambitious Plan To Open More Physical Outlets As Other Banks Shut Down Branches

While the banking industry is focused on digital solutions and channels, Co-operative Bank of Kenya has embarked on an ambitious expansion plan to open 5 new physical branches which will sum up total outlets to 160.

Chief executive Gideon Muriuki said that the new branches will be located in Nairobi (one along Kenyatta Avenue at Standard Building and another at the upcoming Parliament tower,) Kapenguria, Maralal, and Chogoria.

He said the new branches were identified through strategic market research and are expected to boost alternative service channels.

“We believe there is no one single channel that will displace all others. Rather, it is the investment in an optimal and balanced multichannel strategy that will offer a fulfilling experience to the customer,” Mr Muriuki said.

The new branches are expected to enhance the provision of service to the widened network of Saccos and bank agents who are a strong linkage to the bank’s customers.

In 2018, the bank’s branch network increased from 148 to 155 which led to the hiring of an additional 182 employees.

This expansion comes at a time when a Cytonn Report dubbed Kenya listed FY report highlighted that in 2017, Kenyan banks closed 39 branches which led to a loss of 1,620 jobs.

According to the report, most banks are shying off from the physical branch model which is very expensive compared to other alternative channels such as digital platforms.

Featured Image Courtesy:Citizentv.co.ke