Sidian Bank has announced plans to send 108 employees home in an exercise that is expected to cost up to Sh. 70 million. The bank become the second lender after Family Bank to announce that it will be sending employees home.
The bank, which is 74 per cent owned by Centum Investments said in a statement that it would deploy technology to improve efficiency in place of the retrenched employees.
“Price is no longer a distinction under the interest rate caps regime. It is now about efficiency,” said managing director Titus Karanja
Additionally, Sidian Bank projected a 40 per cent drop in net earnings following enactment of the interest rates control law which cut the wide spreads previously enjoyed by Kenyan banks.
