List of Kenyan Banks With the Most Affordable Loans

A month after the Central Bank lowered the lending interest rate to a base of 10.0 per cent, Kenyan consumers are beginning to reap the benefits.

On Tuesday, June 3, the Central Bank of Kenya (CBK) published a list of 22 banks and the lending interest rates they charged on loans disbursed in April this year. The lowest was Citibank Kenya at 10.82 per cent, down from 11.14 per cent in the previous month. On the other hand, Middle East Bank Limited charged an interest rate of 20.63 per cent, bringing the average lending rate to 15.65 per cent — a slight drop from 15.77 per cent recorded in March.

Over the years, the Central Bank of Kenya has struggled to fully transmit its policy rate cuts to commercial banks. The CBK has gone as far as slashing the benchmark rate, adjusting the interbank lending rate corridor, and reducing the penalty rate on its emergency borrowing window. However, banks have been slow to adopt the new rates, with some, like Commercial International Bank (CIB), even opting to increase their rates.

The April 8 cut of the benchmark lending rate to 10.00 per cent from 10.75 per cent in the previous month marked the lowest level since May 2023.

Here is a list of Banks and their lending rate percentages (from lowest to highest);

1. Citibank Kenya - 10.82%

2. Stanbic Bank Kenya - 12.92

3. Standard Chartered Bank Kenya - 13.50

4. Ecobank Kenya - 13.59

5. Guardian Bank - 13.59

6. Consolidated Bank of Kenya - 13.60

7. Paramount Bank Limited - 14.62

8. Kingdom Bank - 14.77

9. Equity Bank - 14.91

10. Premier Bank - 15.06

11. Gulf African Bank - 15.16

12. Habib Bank - 15.26

13. Bank of Baroda - 15.41

14. Bank of India - 15.44

15. Guaranty Trust Bank - 15.50

16. Victoria Commercial Bank - 15.66

17. NCBA Bank - 15.74

18. National Bank of Kenya - 15.74

19. Diamond Trust Bank - 15.97

20. Cooperative Bank of Kenya - 16.09

21. KCB Bank - 16.09

22. Development Bank - 16.12

23. Absa Bank - 16.34

24. Prime Bank - 16.40

25. Family Bank - 16.41

26. M-Oriental Bank - 16.75

27. DIB Bank - 17.10

28. UBA Bank - 17.11

29. African Banking Corporation - 17.31

30. I & M Bank - 17.36

31. Sidian Bank - 17.72

32. Bank of Africa - 18.02

33. SBM Bank Kenya - 18.17

34. HFC Bank - 18.99

35. Credit Bank Kenya - 19.45

36. Access Bank - 19.77

37. Commercial International Bank - 20.22

38. Middle East Bank Limited - 20.49