Shareholders of Equity Group Holdings Plc have approved a record KShs 21.7 billion dividend payout, marking a 35.5 percent increase from the previous year’s distribution, as the financial services giant accelerates its regional expansion strategy through new insurance ventures in Kenya and the Democratic Republic of Congo (DRC).
The dividend, equivalent to KShs 5.75 per share, was approved during the Group’s 22nd Annual General Meeting (AGM) held virtually on June 24, signaling continued investor confidence in the lender’s earnings growth and long-term regional ambitions. The payout is up from KShs 16.04 billion (KShs 4.25 per share) distributed for the 2024 financial year.
The approval comes at a time when East Africa’s banking sector is increasingly diversifying revenue streams beyond traditional lending amid heightened competition, regulatory pressures, and growing demand for integrated financial services.
In a significant strategic move, shareholders also endorsed plans to establish three new insurance subsidiaries under Equity Group Insurance Holdings Limited, subject to regulatory approvals. The expansion includes a microinsurance company in Kenya with capital of KShs 192 million, alongside a life insurance company and a general insurance company in the DRC with capital investments of USD 12 million and USD 13.37 million, respectively.
Industry analysts view the move as part of Equity’s broader effort to deepen non-banking revenue streams while leveraging its extensive customer base across East and Central Africa.
Speaking after the AGM, Group Chairman Prof. Isaac Macharia said the resolutions reflected shareholder confidence in the institution’s governance framework and long-term growth agenda under the Africa Recovery and Resilience Plan.
“The approvals received today reflect our shareholders’ confidence in Equity’s strategy and oversight. We remain committed to strong governance, prudent stewardship, and delivering sustainable value,” he said.
Group Managing Director and Chief Executive Officer Dr. James Mwangi said the insurance expansion would strengthen the lender’s ability to offer comprehensive financial solutions to households and businesses across the region.
“The approvals to expand our insurance footprint strengthen our ability to offer more holistic financial services that help customers and communities manage risk, build resilience, and plan confidently for the future,” he said.
The AGM also approved several governance resolutions, including the re-election of board members Prof. Isaac Macharia, Jonas Mushosho, Dr. Evanson Baiya, and Farida Khambata, while shareholders endorsed the appointment of Dr. Eliane Ubalijoro, subject to regulatory approval. Audit firm Ernst & Young was reappointed as the Group’s external auditor until the next AGM.
With operations spanning seven African markets and a customer base of 22.7 million, Equity Group continues to position itself as one of Africa’s leading financial services institutions. The lender has increasingly focused on digital banking, financial inclusion, and ecosystem-based financial services as it seeks to strengthen its presence beyond traditional banking.
The latest shareholder approvals are expected to reinforce Equity’s growth trajectory while opening new opportunities in the rapidly expanding insurance sector, particularly in underpenetrated markets where demand for affordable risk protection products continues to rise.
