Regional subsidiaries of Kenyan banks grew their profits by 33.2 percent in the year ended December 2025, justifying the banks’ decision to expand in the region.

 

Data from financial disclosures by banks shows regional subsidiaries contributed $611.6 million up from $458.9 million to their group earnings.

Democratic Republic of Congo remained the best hunting ground for Kenyan banks, contributing more than half of the profit made from regional units riding on it being a mineral rich dollar based economy allowing for huge returns in forex income.

Equity Group and KCB Group, the two Kenyan lenders in the DRC reported a combined profit of $314.7 million profit up from $236.4 million.

Currency conversionI&M, the only Kenyan lender with operations in Mauritius got 1.7 billion from the subsidiary, a drop from the previous year, which was attributed to currency conversion.

South Sudan, which has been engulfed in persistent political violence and instability, has become a liability for Kenyan banks with most of them incurring costs to maintain their licences operational as they wait for stability.

Banks that have presence in South Sudan include Equity, KCB and Co-operative Bank. The growth in subsidiary performance was despite the exit of DTB Group from Burundi market after it sold its 83.67 percent stake in the subsidiary to a local investor consortium. DTB had been in Burundi for 16 years.

KCB, the only Kenyan lender left in Burundi, recorded a 42 percent profit drop to Sh455 million pulled down by hyperinflation affecting the country.

Kenyan banks have grown their loan book outside the country giving them exposure to more diverse economies.

KCB, Kenya’s largest bank by asset base, grew its regional loan book by 13 percent to Sh453 billion while its deposit base expanded by 10.4 percent to Sh453 billion.

Equity Group recorded a 19.1 percent growth in loans issued by its regional operations cancelling out a loan book contraction in its Kenyan operations.

Equity’s growth in business was accompanied by a wider branch network up to 188 outlets from 183 at the end of 2024.

KCB branches in the subsidiaries declined to 236 units from 239 but it deepened its agency outlets to 8,845 from 7,164 underlining intentions to get closer to the households for retail banking.

I&M reported a 25 percent growth in deposits collected from its regional outlets to Sh303 billion while loans expanded 18.5 percent to Sh160 billion.

© Copyright 2026 Nation Media Group. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).