Family Bank has posted strong financial results for the nine months ended September 2025, reinforcing its positioning ahead of a planned listing on the Nairobi Securities Exchange (NSE).
The lender reported solid growth across its balance sheet, profitability and lending activities, driven by a recovering macroeconomic environment and strong customer demand.
Family Bank’s balance sheet rose to Ksh.202.5 billion by September 2025, supported by a Ksh.19 billion jump in customer deposits.
According to Chief Finance Officer Paul Ngarangari, Shareholders’ funds increased to Ksh.98.2 billion, reflecting improved profitability and stronger capitalisation.
Loans advanced during the period grew by 10%, rising from Ksh.92 billion to Ksh.103 billion, with the bank disbursing an average of Ksh.1.8 billion per week to households and businesses across the country.
Government securities holdings also expanded sharply by 47%, from Ksh.50 billion to Ksh.70 billion, while interbank lending rose to Ksh.3.8 billion, a 14% increase.
This saw the bank’s standalone entity profits grow 77% to Ksh.3.7 billion, up from Ksh.3.2 billion a year earlier.
Net interest income grew by 43%, climbing to Ksh.10.8 billion, supported by robust lending activities and a stable interest-rate environment.
Family Bank executives say the strong performance has helped the institution make a meaningful contribution to national growth.
Ngarangari said the bank accounted for 27% of the banking sector’s contribution to Kenya’s 3.3% economic output, according to data referenced from the Central Bank of Kenya (CBK).
Chief Executive Officer Nancy Njau attributed the record profit to a digital drive strategy. Its loyal customer base informed Family Bank Group’s record after-tax profit of Ksh.4.6 billion, a 56% jump.
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Family Bank now operates 96 branches across 32 counties in Kenya and serves 1.3 million customers, 92% of whom conduct interactions with the bank digitally.
The bank’s primary digital platform is its subsidiary PesaPap. Other subsidiaries include Family Bank Assurance, PesaPap Digital, and the Family Group Foundation.
“Favourable macroeconomic environment is supporting lending growth. Annual inflation has stabilised at 3.5%, T-bill rates have dropped from 16% to 7.8%, and the shilling remains stable, conditions that have boosted credit deployment, especially to SMEs and the trade sector,” said Njau during the investor briefing forum at a hotel in Nairobi.
She said the bank will tap into the diaspora market, whose remittances have surged to Ksh.488 billion year-to-date, particularly from North America, according to the CBK.
The bank recently securing significant funding from key partners, including a €50 million facility with the European Investment Bank, $20 million from the British Investment Bank, and $10 million in Tier II capital from Blue Orchard.
SMEs and retail banking accounted for 61% of the bank’s growth, while the corporate segment contributed 39%, signalling continued demand for credit across all economic layers.
NSE Listing Status
Family Group Chairman Lazarus Muema confirmed the institution is now entering its final phase of preparations to list on the NSE, and is expected to unlock new capital and elevate the bank’s homegrown legacy.
He outlined a proposed timeline that began on 19 August 2025, when the board approved strong financials showing 24% profit-before-tax growth. On August 20, the board recommended the bank’s listing, followed by a shareholder meeting on August 27, which endorsed the resolution.
The bank expects to complete a comprehensive valuation in March 2026, ahead of regulatory approvals from the CBK and Capital Markets Authority (CMA).
Trading at the NSE is projected to begin by June 2026.
To strengthen its balance sheet ahead of the listing, Family Bank initiated a rights issue and private placement programme. Results of the capital-raising efforts will be announced on 30 November, with Muema expressing optimism that the outcome will “catapult” the bank toward a successful listing by introduction.
He urged shareholders and market participants to “value the confidence in Family Bank and actively engage in the listing process,” as he put emphasis on the bank’s commitment to SMEs in trade, agriculture and manufacturing.
