Stanbic Holdings Plc has posted a KES 6.6 billion profit after tax for the first half of 2026, but the headline earnings figure tells only part of the story.
Behind the profit is a sharp expansion in the Group’s balance sheet, stronger customer deposits, increased lending to businesses and households, and deeper exposure to sectors considered critical to Kenya’s economic growth.
Stanbic’s total assets rose 27% to KES 602 billion during the period, while customer deposits climbed 28% to KES 422 billion, signalling stronger customer confidence and giving the lender additional capacity to fund growth.
Customer loans increased 24% to KES 290 billion as the bank stepped up financing to businesses operating across trade, energy, agriculture and manufacturing.
The growth in lending comes as Kenya’s banking sector adjusts to major changes in the credit market, including the transition to a risk-based pricing framework linked to the Kenya Shilling Overnight Interbank Average, or KESONIA.
Banks are also navigating elevated energy costs, geopolitical uncertainty and a shifting global economic environment.
Despite those pressures, Stanbic maintained what it described as a disciplined approach to growth and risk management.
The Group recorded a credit loss ratio of 0.5%, while its non-performing loan ratio stood at 7.73%, which the lender said remained significantly below the industry average.
Stanbic Holdings Chief Executive Dr Joshua Oigara said the results reflected the Group’s focus on disciplined execution, resilience and long-term value creation.
“Our performance in the first half demonstrates the discipline and resilience that continue to define our business,” Oigara said.
“We remain well-capitalised, deeply customer-centric, and steadfast in our commitment to support Kenya’s economic growth.”
He added that investments in technology and prudent risk management were helping the Group improve customer experience while strengthening shareholder value.
Lending growth points to improving credit appetite
The increase in Stanbic’s loan book is particularly significant given the broader recovery in private-sector credit.
Dennis Musau, Stanbic Bank Kenya’s Chief Financial and Value Officer, said the lender was benefiting from an improving economic environment while maintaining tight control over costs and credit risk.
“Our half-year financial performance reflects a disciplined balance between revenue growth, cost optimisation, and proactive risk management,” Musau said.
He said the rebound in private-sector credit pointed to a healthier operating environment and created opportunities for the bank to support businesses as the credit cycle normalises.
Stanbic also continued to position itself in several large transactions linked to Kenya’s economic infrastructure and capital markets.
During the period, the Group participated in transactions connected to the Kenya Pipeline Corporation IPO, Safaricom share-related deals and Kenya’s government-to-government petroleum importation programme.
The lender said its involvement in the petroleum programme contributed to national energy security and broader economic stability.
SMEs remain a major growth pillar
Beyond large corporate transactions, Stanbic expanded financing to smaller businesses.
The Group extended more than KES 21 billion in financing to small and medium-sized enterprises during the first half, supporting business expansion, entrepreneurship and job creation.
Its broader MSME support also continued through the Stanbic Foundation, which the Group said had extended KES 181 billion in concessionary lending aimed at helping entrepreneurs start, sustain and scale their businesses.
The figures underline the growing importance of SMEs and MSMEs to Stanbic’s wider growth strategy as banks compete more aggressively for Kenya’s expanding business market.
Wealth business grows 63%
Stanbic’s performance was not limited to traditional banking.
Assets under management in its wealth and investment businesses rose 63% to KES 7 billion as more clients sought diversified investment and wealth-creation products.
The growth suggests the lender is increasingly looking beyond loans and deposits to capture a larger share of customers’ investment portfolios.
Stanbic also continued investing in digital services, introducing additional features on its mobile banking platform and launching Dynamic Currency Conversion across its ATM network.
The Group’s customer base increased 6% year-on-year to 258,000 customers.
The lender attributed the growth partly to its customer-focused strategy and continued investment in digital banking.
Investors take notice
The strong first-half performance has also been reflected in the stock market.
Stanbic ranked among the three best-performing banking stocks on the Nairobi Securities Exchange during the period, according to the Group.
The bank also collected several industry awards, including Best Bank in Tier 1 at the Think Business Awards, Mergers and Acquisitions Financial Advisor by Deal Flow at the 2025 Dealmakers Africa Annual Awards, and Best Investment Bank in Kenya at the Euromoney Awards.
Oigara said the Group would continue focusing on client growth, digital transformation, balance-sheet strength and shareholder returns despite lingering economic uncertainty.
“Despite prevailing macroeconomic headwinds, our strategic priorities remain clear: supporting our clients’ growth ambitions, accelerating our digital transformation agenda, strengthening our balance sheet, and delivering sustainable value for our shareholders,” he said.
For Stanbic, therefore, the KES 6.6 billion profit may be the most visible number in its half-year results.
But the faster growth in deposits, loans, assets, SME financing and wealth management offers a broader picture of a bank positioning itself for a larger role in Kenya’s next phase of economic and credit growth.
