NBK posts 61% rise in half-year profit to Ksh1.72 billion
An image of National Bank of Kenya ./Photo courtesy of National Bank
National Bank of Kenya (NBK) has recorded a 61 per cent increase in profit after tax to Ksh1.72 billion for the six months ended June 30, 2026, up from KSh1.07 billion posted during a similar period last year.
The bank, which is wholly owned by Access Bank Plc, attributed the growth to stronger net interest income, a significant reduction in credit impairment charges and continued cost management.
NBK said the performance reflected progress in its transformation programme, improved customer confidence and strengthening of its business operations.
“The bank has started 2026 on a strong footing, with our first-half performance reflecting the resilience of the business, growing customer confidence and the positive impact of the strategic initiatives we have implemented across the bank,” said NBK acting Managing Director John Ojalla.
Interest income rises
Net interest income increased by 11 per cent to Ksh5.40 billion from Ksh4.87 billion in the first half of 2025.
The bank attributed the increase to disciplined asset pricing and improved funding efficiency.
Non-interest income remained resilient at Ksh1.47 billion, supported by continued performance in fees and commissions despite a competitive operating environment.
Operating expenses stood at Ksh4.61 billion as the lender continued implementing cost management and operational efficiency measures.
A major boost to profitability came from the sharp decline in loan loss provisions, which fell to Ksh80.9 million from Ksh1 billion recorded in the previous year.
The bank attributed the improvement to stronger recoveries and enhanced credit quality.
Balance sheet expands
NBK’s balance sheet also strengthened during the period, with total assets rising to KSh157 billion from KSh141 billion at the end of December 2025.
Customer deposits increased to Ksh116.3 billion from Ksh106.1 billion, providing the lender with a stronger and more stable funding base.
Net loans and advances also increased to KSh61 billion from KSh51 billion, reflecting continued lending to customers and businesses across key sectors.
“Our H1 performance demonstrates the progress we are making in strengthening the Bank and positioning it for sustainable growth,” Ojalla said.
Focus on transformation
NBK said it would continue investing in digital capabilities, improving customer experience, strengthening risk management and driving operational efficiency during the remainder of 2026.
The bank is also seeking to maximise opportunities arising from its integration with Access Bank, saying the process is helping strengthen its capacity to serve households, businesses and the wider economy.
Looking ahead, NBK said it remained optimistic about its growth trajectory and would build on the momentum achieved in the first half of the year.
The lender said continued execution of its transformation strategy would help strengthen its market position and deliver sustainable value to customers and stakeholders.
