Kenya's Equity Bank is targeting Chinese customers in its bid to increase the amount of letter of credit (L/C) and other trade finance business it writes.

The bank's efforts seek to benefit from China's push for more influence across Africa, and the strategy appears to be working.

Profits boost

Successfully targeting Chinese customers has helped Equity Bank to a 17 per cent rise in first half pre-tax profits for Kenya's largest bank to 9 billion Kenyan shillings (KES9 billion - US$103 million), according to chief executive James Mwangi.

"The Chinese are dominating the development of infrastructure in our country, and they are creating SMEs [small and medium enterprises] to support the supply chain," he told the Reuters news agency.

L/C offering

Mwangi added that the bank is offering L/Cs and bid bonds for Chinese businesses as part of a the bank's overall push on trade finance, helping raise non loan-related income to 36 per cent of total income from 33 per cent in the same period a year ago.

The bank has also hired Chinese personnel to staff its new branch in Nairobi to attract more business with Chinese firms and residents.

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