Co-operative Bank of Kenya has posted a steady financial performance for the first half of 2025, with a profit after tax of KES 13.8 billion, reflecting a 4 percent increase compared to the same period last year.
The results underline the lender’s strategic commitment to serving micro, small, and medium-sized enterprises while maintaining tight operational control during an economically uncertain period.
With its roots in the cooperative movement, the bank continues to draw strength from its loyal customer base, especially SACCOs and rural-based clients.
This connection has proven particularly valuable as businesses across Kenya navigate persistent cost pressures, high interest rates, and shifting regulatory requirements.
Total assets grew to KES 670.5 billion, a 6 percent rise from the previous year, driven by modest loan book expansion and increased customer deposits, which now stand at KES 495.2 billion.
The bank maintained a conservative lending posture, prioritizing quality over volume, a strategy that has kept its non-performing loan ratio below industry average.
The Group’s net interest income rose by 5.2 percent, supported by increased uptake of credit products among MSMEs and steady returns from its diversified investment portfolio.
At the same time, non-interest income remained stable at KES 11.6 billion, buoyed by digital transaction fees and insurance income from its subsidiary, Co-op Bancassurance.
Operating expenses remained tightly managed, increasing only slightly due to controlled hiring and ongoing automation of key processes.
The bank’s efficiency ratio continues to improve, signaling disciplined cost management even as the institution expands its reach and invests in new digital platforms.
Dr. Gideon Muriuki, the Group Managing Director and CEO, reaffirmed the bank’s focus on building inclusive financial solutions that empower small businesses and low-income earners.
He emphasized the bank’s role as a catalyst for grassroots economic resilience, particularly at a time when formal lending remains out of reach for many informal entrepreneurs.
A standout element of Co-operative Bank’s strategy is its reinforced support for green finance and climate-smart agriculture.
The lender is actively engaging partners to develop innovative funding tools for farmers, SMEs, and social enterprises that align with Kenya’s long-term sustainability goals.
Through strategic clarity, operational prudence, and strong alignment with national development priorities, Co-operative Bank is not only protecting its bottom line but also playing a vital role in shaping an inclusive financial future for the country.
Its grounded approach continues to earn the trust of millions, positioning it as a key pillar of Kenya’s cooperative and banking ecosystems.
