Absa Celebrates 20 Years of Sharia’h Banking as Kenya Charts New Path for Islamic Finance
By Wendy Sheilla
Absa Bank Kenya has marked a major milestone by celebrating 20 years of Dariba, its Sharia’h-compliant banking service, at an event that also witnessed the launch of the Association for Sharia’h Compliant Services Providers, a body expected to strengthen the growth of Islamic finance in the country.
Chief guest Nasra Nanda, Chief Executive Officer of the Kenya Green Building Society, praised Absa and other stakeholders for championing financial inclusivity and driving innovation in the Islamic finance sector.
“Islamic finance is no longer a niche; it is a mainstream opportunity. As we celebrate Absa’s 20-year journey, we must focus on building a robust national policy framework, deepening collaboration, and investing in education to dispel myths about Sharia’h-compliant products,” Nanda said.
She emphasized that financial inclusion remains a priority and that Islamic banking can play a pivotal role in empowering communities and supporting entrepreneurship.
Nanda also welcomed the launch of the Association for Sharia’h Compliant Services Providers, describing it as a landmark step that will bring regulators, banks, scholars, and practitioners together to enhance compliance, foster innovation, and position Kenya as a regional hub for Islamic finance.
Elizabeth Wasunna, Managing Director of Consumer Banking at Absa Bank Kenya, said the bank’s 20-year journey in Sharia’h banking was deliberate and rooted in inclusivity. She explained that Dariba was designed to ensure all Kenyans, regardless of background, could access financial services in line with their faith and values.
“Just as conventional banking evolves, Sharia’h-compliant banking must also innovate to meet the needs of all customers,” she said.
Wasunna announced the launch of Absa’s Women in Business proposition under the Dariba platform to empower female entrepreneurs with tailored financial solutions that comply with Sharia’h principles. She added that customer engagement and feedback remain central to Absa’s strategy.
Yusuf Kungu Omari, Chief Finance Officer and Executive Director at Absa Bank Kenya, reflected on the humble beginnings of Islamic finance in Kenya, recalling how 20 years ago a team of pioneers introduced the concept at Jamia Mosque, sparking conversations on compliance.
“The biggest challenge came when we went to the Central Bank of Kenya, where regulators struggled to understand how profits could be made without charging interest. After lengthy deliberations, approval was cautiously granted,” Omari said.
He noted that the sector has since grown from a handful of products to a diverse portfolio, including Sharia’h-compliant debit and credit cards, digital lending platforms, and insurance solutions. However, Omari stressed that long-term confidence in the sector depends on a strong regulatory framework that sets clear standards and policies.
The celebrations, attended by regulators, financial leaders, and stakeholders, highlighted both the achievements of the past two decades and the promise of a stronger future for Islamic finance in Kenya.
Participants agreed that Kenya’s potential to become a regional hub lies in strengthening compliance, building awareness, and fostering innovation.
