Barclays Bank to close 7 branches in restructuring drive

Barclays Bank Kenya is set to close seven branches as it continues to focus on optimizing its operations.

The closure will affect five branches in Nairobi, one in Meru and another in Voi effective from the October 1.

Branches that are set to be closed are located along Moi Avenue, Haile Selase, Waiyaki Way, Kawangware, Rahimtula, Nakumatt Meru and Wundanyi.

The move will reduce Barclays’ branch network to 95 at a time banks are looking to cut down costs and deliver services more effectively.

Services from the affected branches will be transferred to existing branches within close proximity.

In a statement to newsrooms, Barclays Bank Kenya chief executive officer Jeremy Awaori said the bank would continue investing in alternative service delivery channels.

“We will be investing significantly in the merged outlets so that our customers can enjoy an even better experience banking with us,” Mr Awori said.

The CEO further said that the move would not lead to any redundancies, with affected staff being redeployed to different parts across the business.

However this will be based on job availability across the business, with some staff likely to lose their jobs.

“Colleagues working in these branches will be redeployed based on available opportunities and matching competency skills,” Mr Awori said.

Barclays Bank Kenya quietly initiated a voluntary exit scheme last month with the view of scaling down its workforce.

The bank initially targeted 130 employees with the scheme, but the decision to close branches could see the number rise.

Barclays has a staff contingent of 3,500 employees.

Banks have increasingly been touting tough operating environment that has seen massive restructuring in the industry.

The government’s decision to cap interest rates in September 2016 is seen to have pushed banks to look at mobile and internet banking as ways of cutting costs that has seen several lenders lay off staff.