Co-op Bank profit after tax increased from KSh 21.6 billion recorded during the corresponding period in 2025 to KSh 27.4 billion in the first nine months of 2026.
Profit before tax rose by 19.6 per cent to KSh 35.9 billion, compared to KSh 30 billion reported in the same period last year.
The strong performance was accompanied by an 11.3 per cent increase in the Group’s total assets, which grew to KSh 907.4 billion from KSh 815.3 billion.
The results underscore the lender’s continued growth under its 2025–2029 Good to Great Strategy and the Soaring Eagle Transformation Agenda.
Co-op Bank profit after tax rises 28 percent to Sh18 billion in six months
Co-op Bank Announces 50% Increase in Interim Dividend
Alongside the improved financial performance, the Co-operative Bank Board has approved an interim dividend of KSh 1.50 per share, representing a 50 per cent increase from the KSh 1.00 per share paid in the previous year.
The dividend will be payable to shareholders whose names appear in the company’s register as at the close of business on November 25, 2026.
Payment is scheduled for December 4, 2026.
The increased dividend reflects the bank’s improved profitability and its commitment to delivering value to shareholders.
Co-op Bank Loans and Deposits Record Strong Growth
Co-operative Bank’s balance sheet recorded significant expansion during the nine-month period, supported by increased customer deposits and lending activity.
Customer deposits increased by 14.8 per cent to KSh 642.5 billion, while net loans and advances grew by 22.2 per cent to KSh 496.9 billion.
The bank’s government securities portfolio also expanded by 6.1 per cent to KSh 271.1 billion, compared to KSh 255.4 billion in September 2025.
Meanwhile, borrowed funds declined by 13.2 per cent to KSh 57.7 billion from KSh 66.5 billion, indicating continued optimisation of the Group’s funding structure.
Shareholders’ funds increased by 9.2 per cent to KSh 179.3 billion, supported by retained earnings and a stronger capital position.
Net interest income rose by 12.7 per cent to KSh 51 billion, reflecting growth in lending activities.
Total operating income increased by 11.6 per cent to KSh 75.2 billion, supported by higher interest income and resilient non-funded income.
Operating expenses grew by a relatively modest 5.3 per cent, with the cost-to-income ratio before provisions standing at 46.4 per cent.
Co-op Bank Improves Loan Book Quality as Bad Loans Decline
The lender also reported an improvement in asset quality, reflecting efforts to strengthen credit management, customer engagement and loan portfolio monitoring.
The Group’s non-performing loans (NPL) ratio improved to 12.9 per cent from 17.1 per cent in the corresponding period of 2025.
Its IFRS coverage ratio increased to 82.2 per cent from 70.4 per cent, while the cost of risk declined to 1.4 per cent from 2.5 per cent.
The improvement in these indicators points to progress in managing credit risks and strengthening the quality of the bank’s lending portfolio.
The Group maintained a liquidity ratio of 54.8 per cent, while total capital to risk-weighted assets stood at 21.3 per cent.
94% of Co-op Bank Transactions Now Processed Digitally
Digital banking continued to play a major role in the lender’s operations, with approximately 94 per cent of all customer transactions processed through alternative delivery channels.
The bank’s digital banking services are supported by its mobile application, internet banking and USSD platforms.
Its distribution network also includes 16,215 Co-op Kwa Jirani agents, 600 ATMs and Cash Deposit Machines, alongside a 24-hour contact centre.
Co-operative Bank operates 224 branches across Kenya and the region, complemented by 663 SACCO front offices.
The Group also reported more than 25,000 Diaspora Banking customers, reflecting growing demand for its banking services among Kenyans living abroad.
Agency banking continued to expand, with deposits generated through agents increasing by 39 per cent to KSh 139.37 billion from KSh 85.1 billion in September 2025.
The Group also completed the upgrade of Kingdom Bank’s core banking system to Finacle in October 2026, following successful implementation at Co-op Bank Kenya and Co-op Bank South Sudan.
The upgrade is expected to support operational efficiency, innovation and improved customer experiences across the Group.
Inside Co-op Bank’s Sh9 million loan repayable in 120 months
Co-op Bank Disburses KSh 66.6 Billion Through Digital Loans
Co-operative Bank continued to expand access to credit through its digital lending and enterprise banking solutions.
During the third quarter of 2026, the bank disbursed KSh 66.6 billion through its E-Credit platform.
Since its inception, the platform has disbursed more than KSh 568.5 billion, demonstrating the growing role of digital lending in the bank’s operations.
The cumulative number of E-Credit loan customers increased to 16.2 million.
The bank also continued supporting micro, small and medium-sized enterprises (MSMEs), with 273,783 businesses onboarded onto tailored MSME banking packages.
Additionally, 72,198 MSMEs benefited from capacity-building and training programmes aimed at strengthening their business skills and resilience.
MSMEs accounted for 16.7 per cent of the bank’s loan book and 23.7 per cent of customer deposits.
The lender has also enhanced its merchant payment solutions through the CoopTill App, which enables businesses to monitor sales, request payments and access instant Till loans for working capital.
Other payment solutions include card payments, Lipa Na M-Pesa, point-of-sale services and Chapa Pay for online transactions.
Co-op Bank Launches Ignite Youth Banking Proposition
The Group also accelerated its youth banking strategy through the launch of Ignite, a financial services proposition targeting young people.
The initiative seeks to transform the financial lives of young people by providing access to savings, investments, credit, financial literacy and business support.
By the third quarter of 2026, Co-operative Bank had disbursed KSh 47.5 billion to youth customers, supporting more than 585,000 young people in entrepreneurship, business expansion and income generation.
More than 210,000 young people had also accessed financial literacy and empowerment programmes.
Through its digital banking platform, the lender has enabled young customers to access Money Market Fund and bond investment products.
Youth assets under management under the proposition had reached more than KSh 1.75 billion.
The bank has set a medium-term ambition of serving more than 10 million youth customers.
Co-op Bank mortgage opens path to home ownership through construction
Kingdom Bank and Other Co-op Bank Subsidiaries Record Growth
Co-operative Bank’s subsidiaries also contributed positively to the Group’s financial performance.
Kingdom Bank recorded profit before tax of KSh 1.33 billion, representing a 61.8 per cent increase from KSh 820.2 million in the corresponding period of 2025.
Co-op Bancassurance Intermediary reported profit before tax of KSh 1.39 billion, supported by increased insurance penetration.
Co-optrust Investment Services recorded funds under management of KSh 508.8 billion, while its profit before tax increased by 54.8 per cent to KSh 966.8 million from KSh 624.7 million.
Co-operative Bank of South Sudan posted profit before tax of KSh 528 million, compared to KSh 93.5 million in the previous year.
Kingdom Securities also recorded improved performance, with profit before tax rising by 16.2 per cent to KSh 104.5 million from KSh 89.9 million.
The performance highlights the contribution of the Group’s diversified financial services businesses to overall profitability.
Co-op Bank Embarks on AI-Powered Transformation
The lender has also embarked on Project Angaza, an enterprise-wide transformation programme aimed at becoming an artificial intelligence-powered bank.
The initiative seeks to integrate artificial intelligence, data and automation into the bank’s operations, decision-making and customer service.
According to the bank, Project Angaza is anchored on improving customer experiences, strengthening employee capabilities, increasing productivity and enhancing long-term business performance.
The programme also emphasises responsible and secure AI adoption supported by appropriate governance structures.
The transformation is part of the bank’s broader Good to Great Strategy, which focuses on sustainable growth, operational efficiency and shareholder value creation.
Co-op Bank mortgage opens path to home ownership through construction
Co-op Bank Creates 804 New Jobs as Workforce Expands
Co-operative Bank continued investing in its human resources and operational capacity.
The Group’s staff numbers increased to 6,630, representing the creation of 804 new jobs since the third quarter of 2025.
The expansion reflects the bank’s investment in people, technology and service delivery as it grows its customer base and regional operations.
The Group currently serves more than 10 million account holders and benefits from its close relationship with Africa’s largest cooperative movement, which has approximately 15 million members.
Co-op Bank Strengthens Social Impact and Sustainability Initiatives
Beyond its financial performance, the lender continued implementing environmental, social and governance (ESG) initiatives.
Through the Co-op Bank Foundation, 12,602 students have benefited from its scholarship programme.
The Foundation also funded the renovation and equipping of three orthopaedic wards at Kenyatta National Hospital, increasing inpatient capacity by 150 beds.
The bank also reported progress in climate risk management, including alignment with IFRS S1 and S2 sustainability disclosure standards and the Kenya Green Finance Taxonomy.
Additionally, the Group had executed a cumulative 4,000 cooperative advisory mandates by the third quarter of 2026, supporting capacity building and strengthening the cooperative movement.
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Co-op Bank Recognised Among Kenya’s Leading Banks
During 2026, Co-operative Bank received several industry awards recognising its performance in retail banking, digital banking, wealth management and support for businesses.
Among the recognitions were:
- Best Bank in Kenya 2026 by Global Finance.
- Kenya’s Best Retail Bank at the Euromoney Awards for Excellence 2026.
- Kenya’s Best Digital Bank at the Euromoney Awards for Excellence 2026.
- SME Bank of the Year 2026 at the African Banker Awards.
- Best Private Bank for Growth Strategy – Kenya at the Global Private Banking Awards 2026.
- Digital Banking Inclusion Leader – East Africa by CFI.
- Best Commercial Bank of the Year – Kenya at the International Banker Africa and North Africa Banking Awards.
The bank was also ranked among Africa’s Fastest Growing Companies 2026 by Statista.
Outlook: Co-op Bank Builds on Strong Financial Performance
Co-operative Bank’s nine-month results demonstrate continued expansion in lending, deposits, digital financial services and subsidiary operations.
With total assets approaching KSh 1 trillion, a growing customer base of more than 10 million account holders and improving asset quality, the Group is positioning itself for further growth under its 2025–2029 strategic plan.
The improved profitability has also enabled the bank to increase its interim dividend by 50 per cent, offering shareholders a higher payout compared to the previous year.
The Group Managing Director and CEO, Dr Gideon Muriuki, said the bank remained committed to advancing its strategic priorities through resilience, innovation and growth across diverse economic sectors.
