Family Bank Kenya has announced plans to list its shares on the Nairobi Securities Exchange (NSE) in 2026, becoming the latest lender to pursue public listing in a market that has seen a prolonged listing drought.
The announcement was made at the bank’s 18th Annual General Meeting, where it reported a net profit of KES 1 billion, up from KES 900 million in Q1 2024.
“In our five-year strategic plan, we have put in an item for next year—and that item is to list our shares on the stock exchange,” said Family Bank Board Chair Lazarus Muema.
“I know many have been waiting for this.”
The listing is part of the bank’s 2025–2029 strategic plan, aimed at enhancing share liquidity, raising growth capital, and supporting expansion into underserved counties.
“The main reason for listing is to gain a degree of liquidity for our existing shareholders,” Muema added. “You can either raise funds or float existing shares to improve tradability—we’re exploring both.”
Financial Performance & Capital Strategy
Family Bank’s Acting CFO Paul Ngaragari, highlighted the bank’s strong but tightening capital position as a key driver behind the listing decision.
“Our capital adequacy ratio stands at 15.8%, well above statutory limits, but it’s down from 16.5%. That tells you our business is growing faster than our capital base,” said Ngaragari. “This points to a clear investment opportunity.”
To support its digital transformation, the bank plans to invest over KES 1 billion in upgrading its core banking system over the next 27 months. The upgrade will be financed through a mix of internally generated cash flows and support from impact-focused partners.
Dividend Payout & Shareholder Confidence
Shareholders also approved a KES 1.1 billion dividend payout for FY 2024, translating to KES 0.85 per share—a 53% increase from the previous year.
“We are deeply grateful to our shareholders for their unwavering support,” said Muema. “As we gear toward Tier 1 status, we remain committed to balancing sustainable returns with long-term capital growth.”
Strategic Outlook
Family Bank CEO Nancy Njau reaffirmed the bank’s commitment to innovation and customer-centric growth.
“Our new strategy places strong emphasis on digital transformation, data-driven decision-making, and sustainable growth,” she said. “We aim to position Family Bank as the preferred bank for Biashara.”
About Family Bank
Family Bank is Kenya’s eighth-largest bank by branch network, with 96 branches across 32 counties, serving over 1.2 million customers, 6,000 agents, and 75,000 merchants. As of December 2024, the bank reported:
- Total assets: KES 168.5 billion
- Customer deposits: KES 132.2 billion
- Loan book: KES 96.2 billion
- Profit before tax: KES 1.5 billion
A pioneer in digital banking, Family Bank was the first in Kenya to launch paperless banking, mobile banking, and mVisa. It has received multiple awards for customer service, innovation, and gender inclusion.
