NAIROBI, Kenya, May 29 – Absa Bank Kenya has posted a profit after tax of Sh5.3 billion for the three months ending March 2026, driven by growth in customer deposits and an expansion of its balance sheet despite a challenging economic environment.
The lender’s total assets grew by 10 percent to Sh 571.3 billion during the quarter, while customer deposits increased by 8 percent to Sh399.1 billion.
Customer loans and advances stood at Sh303.8 billion, reflecting cautious lending amid slower private sector credit growth and a lower interest rate environment.
Profit before tax came in at Sh7.5 billion, while return on equity stood at 20.3 percent, underscoring the bank’s profitability and capital strength.
Absa said its capital adequacy ratio closed at 21 percent, above the regulatory requirement, while liquidity reserves stood at 53.2 percent.
Speaking during the release of the results, Absa Bank Kenya Chief Executive Officer Abdi Mohamed said the lender had focused on supporting customers amid economic pressures.
“It has been a demanding period for our customers and the broader economy, but our focus has been on standing alongside those we serve.”
“While our performance reflects these pressures, our actions are guided by a long-term view, supporting our customers today while safeguarding the strength of our business for the future.”
The bank recorded total revenue of Sh14.7 billion during the quarter, with net interest income closing at Sh10.4 billion while non-interest income stood at Sh4.3 billion.
Absa attributed the performance partly to disciplined cost management and revenue diversification as subsidiaries’ income grew by 25 percent year-on-year.
The results come at a time when lenders are adjusting to easing interest rates, rising pressure on asset quality, and slower business activity across key sectors of the economy.
The bank said it continued to expand its retail, business, and corporate banking operations during the quarter.
In the retail segment, Absa expanded its wealth management offerings targeting high-net-worth customers, while in the SME segment it scaled its “WEZESHA” value-chain financing programme and digital payment solutions aimed at improving access to working capital.
The lender also pointed to growth in its corporate banking business, particularly in mergers and acquisitions advisory and foreign exchange solutions.
Beyond its core banking operations, Absa said it continued to invest in sustainability and community-focused programmes through the Absa Kenya Foundation, including support for women- and youth-led businesses in the circular economy.
The bank added that it will continue investing in digital platforms, customer experience, and strategic partnerships as competition in the banking sector intensifies.
