NAIROBI, Kenya, Oct 24 – Kenyan lenders paid Sh38.5 in taxes for every Sh100 profit earned in 2024, new industry data shows.
According to the Kenya Banking Sector Total Tax Contribution Report by the Kenya Bankers Association (KBA) and PwC Kenya, the Total Tax Rate (TTR) dropped from 46.77 percent in 2023 to 38.5 percent, mainly due to higher profitability across the sector.
The report, which covered 36 banks and microfinance institutions, further reveals that the industry paid Sh194.81 billion in total taxes to the National Treasury in the year ended December 31, 2024, underscoring the sector’s significant role in revenue mobilisation.
“The Sh194.81 billion tax contribution by 36 participating banks in 2024 highlights the sector’s central role in Kenya’s revenue mobilisation. This data provides valuable insights for policymakers as they consider how to balance fiscal sustainability with sector resilience,” said KBA Chief Executive Officer Raimond Molenje.
He added that the voluntary participation of banks reflected a strong commitment to transparency and responsible governance.
