SBM Bank Kenya Reports KES 12.4M Q1 Profit After KES 819M Boost; CBK Lifts Ban on New Banks Requiring KES 10B Capital

SBM Bank Kenya has reported a net profit of KES 12.4 million for the first quarter of 2025, marking a recovery from a loss of KES 370.5 million in the same period last year. The bank's turnaround was attributed to a strategic focus on the mass affluent segment. In addition, the bank received a capital boost of KES 819 million from its parent company, SBM Holdings, in 2024, following a previous injection of KES 471 million in 2023. The bank's financial results for Q1 2025 showed a 44% increase in net interest income to KES 891.7 million, total assets rising by 13.7% to KES 102.9 billion, and customer deposits increasing by 27.9% to KES 72.2 billion. Meanwhile, the Central Bank of Kenya announced the lifting of a nine-year moratorium on new commercial bank licenses, effective July 1, 2025. New banks will be required to meet a minimum core capital requirement of KES 10 billion, an increase from the previous requirement of KES 1 billion, as stipulated in the 2024 Business Laws (Amendment) Act.