SBM Bank Kenya Ltd has posted a profit before tax of Ksh 202 million for the first half of 2025, marking a major turnaround from a loss of Ksh 943 million recorded during the same period in 2024. The positive result highlights the early gains of the bank’s strategic transformation led by Mr Bhartesh Shah, who became the bank’s Chief Executive Officer in May 2024.
In a statement, SBM Bank attributed the improved performance to growth in customer deposits, increased operating income, cost control measures, and investment in digital banking platforms. The bank’s total assets grew to Ksh 105.7 billion from Ksh 92.6 billion in H1 2024, showing a strong rebound in business activities.
Customer deposit balances jumped by 37% to Ksh 76.2 billion. The bank credited this to an expanding client base and deeper engagement with key customer segments, especially in the mass affluent and entrepreneurial categories. Operating income grew by 65% year-on-year, rising from Ksh 1.7 billion to Ksh 2.8 billion. Meanwhile, operating expenses dropped by 2%, a clear sign of improved cost efficiency.
Mr Bhartesh Shah explained that the bank’s strategic focus has shifted to serving Kenya’s middle-class and entrepreneurial market. This includes rolling out innovative financial products and deepening the bank’s collaboration with fintechs and digital partners to create a more seamless and secure banking experience. According to him, “Our performance affirms the strategic bets we’ve made — investing in intelligent digital platforms, launching innovative products, and forging partnerships that deliver more value to our customers.”
SBM Bank’s capital position remains strong. As of the end of June 2025, the bank reported a core capital of Ksh 8.0 billion, well above the Central Bank of Kenya’s new minimum of Ksh 3.0 billion which is expected by year-end. The bank’s capital adequacy ratio stood at 16.0%, surpassing the regulatory threshold of 14.5%, while liquidity was at a healthy 45.9%, more than double the 20% statutory minimum.
These indicators show SBM Bank is now better positioned to support larger transactions and meet rising customer demand, especially in payments and digital banking. The bank says it is focused on building Kenya’s leading payments bank through a strategy that prioritises scale, speed, and trust.
“Our aim is to become Kenya’s preferred payments bank,” said Mr Shah. “This is just the beginning of a bold new chapter for SBM.”
The bank also noted that its transformation strategy will continue to focus on using technology to serve customers better and reduce operational costs. It plans to keep enhancing digital channels and partnering with ecosystem players to strengthen its product offering.
SBM Bank Kenya is a fully owned subsidiary of SBM Group Holdings, headquartered in Mauritius. The parent company, founded in 1973 and listed on the Stock Exchange of Mauritius, operates in four countries — Mauritius, Kenya, India, and Madagascar — and had a total asset base of around Ksh 1.2 trillion (USD 9.8 billion) as of December 2024.
With its renewed strategy, strong financial base, and growing customer confidence, SBM Bank Kenya appears to be on a solid recovery path, aiming to play a bigger role in the country’s evolving banking sector.
