Micro, Small, and Medium Enterprises, MSME Lending Hits KES 100.9 Billion in Q1 2026
Kenyan banks extended KES 100.9 billion in new MSME credit in Q1 2026. Equity Bank led the market with KES 36.5 billion, accounting for 36% of total lending. KCB Group and Family Bank followed with KES 12.9 billion each, while the top five banks contributed 82.2% of total MSME credit disbursements.
Government Targets KES 50 Billion Through Reopened Bonds
The government is seeking to raise KES 50 billion through reopened 15-year (FXD3/2019/015) and 20-year (FXD1/2021/020) bonds. The instruments carry coupon rates of 12.34% and 13.444% respectively, with bids due on 20 May 2026 for budgetary support.
Co-operative Bank Posts 18.1% Profit Growth in Q1 2026
Co-operative Bank of Kenya reported an 18.1% growth in Profit Before Tax to KES 11.4 billion in Q1 2026. Subsidiaries contributed 14.5% of Group PBT, up from 8.1% in the prior year, highlighting continued diversification momentum.
DTB Reports 11.6% Profit Growth in Q1 2026
Diamond Trust Bank, the third bank to release its Q1 results, posted an 11.6% increase in profit attributable to shareholders to KES 3.2 billion. Performance was primarily driven by a 30.9% rise in net interest income.
Absa Bank Kenya Named Best Retail Bank 2026
Absa Bank Kenya was recognized as the Best Retail Bank in Kenya by Global Banking and Finance Review 2026, reflecting its strong retail banking strategy and customer-focused growth model.
KMRC Green Bond Oversubscribed by 312.8%
The Kenya Mortgage Refinance Company green bond worth KES 3 billion was oversubscribed by 312.8%, signaling strong investor appetite for sustainable instruments. The bond is set to list on the Nairobi Securities Exchange on 25 May 2026.
NCBA Expands Asset Financing Through New Vehicle Partnership
NCBA Group partnered with Salvador Caetano Kenya to launch a structured asset financing scheme offering up to 100% financing for personal vehicles and up to 95% for commercial vehicles, with repayment terms of up to 84 months.
Treasury Bills Oversubscribed
Treasury bills recorded strong demand this week, with the government raising KES 26.38 billion against an offer of KES 24 billion. The 91-day paper cleared at a weighted average rate of 8.3176%, reflecting stable short-term liquidity conditions.
Upcoming Corporate Actions
Investors should note that Absa Bank Kenya, I&M Bank, Standard Chartered Bank Kenya, and KCB Group are set to distribute a combined KES 32.29 billion in dividends next week.
Bondholders of FXD4/2019/010 and FXD1/2018/015 will receive their coupon payments tomorrow, May 18, 2026.
From Abojani
Finance For Non-Finance Managers Workshop
Registration for our Finance for Non-Finance Managers Workshop is still ongoing.
Learn how to read and interpret financial statements, and tell a business story. After the workshop, you’ll confidently engage in financial conversations and improve your decision-making skills.
The workshop will take place on 30th May 2026 at the Radisson Blu Hotel, Nairobi Arboretum.
78th Personal Finance & Investing Masterclass
And finally, we cordially invite you to our 78th Masterclass, which will take place from 8th to 26th June 2026.
If you want to better understand your personal finances and investments, save more, invest better, reduce debt, and plan for early retirement, this is the perfect place to start.
