Personal and household borrowers took the largest share of bank credit in Kenya in 2025, with outstanding loans to the sector reaching Sh1.18 trillion, according to the Central Bank of Kenya (CBK).
The figure represented 27.1% of the banking sector’s total gross loans, which rose by 6.8% to Sh4.35 trillion by December 2025. CBK attributed the growth to increased demand for credit across different sectors of the economy.
The personal and household category also had the highest number of loan accounts, with 14.85 million accounts representing 94.2% of all loan accounts in the banking sector.
Trade ranked second in terms of credit allocation, receiving Sh857.8 billion, equivalent to 19.7% of total gross loans.
Manufacturing followed with Sh585 billion, accounting for 13.5%, while real estate received Sh511.1 billion, representing 11.8% of total bank lending.
The distribution shows that lending remained concentrated in a few major segments of the economy, with personal and household borrowers accounting for more than a quarter of the banking sector’s loan book.
CBK also reported continued expansion by Kenyan banks across regional markets in 2025 as lenders increased their physical presence in East African Community partner states and the Democratic Republic of Congo.
The number of branches operated by Kenyan bank subsidiaries in the regional markets increased from 586 in December 2024 to 592 by December 2025, a 1% rise.
The increase was mainly driven by new branches opened by KCB Group in Tanzania and Uganda, according to the regulator.
KCB Group, Equity Group, Diamond Trust Bank, NCBA Group, I&M Group, Guaranty Trust Bank Kenya and Co-operative Bank were among the Kenyan lenders with operations in the regional markets covered by the report.
The expansion comes as Kenyan banks continue to develop their regional businesses and serve customers involved in cross-border trade and other economic activities.
CBK’s 2025 Bank Supervision Annual Report provides an overview of developments in the banking sector during the year, including lending trends, asset quality, profitability and the regional operations of Kenyan banks.
