Kenya’s 10 largest county economies host more than two-thirds of commercial bank branches, concentrating physical banking services in regions generating most of the country’s economic output.
The distribution highlights the close relationship between economic activity and bank infrastructure, raising questions about access to formal financial services in counties outside the economic power points.
The counties-Nairobi, Kiambu, Mombasa, Nakuru, Meru, Machakos, Uasin Gishu, Kisumu, Kilifi and Kakamega-accounted for 1,096 of Kenya’s 1,611 commercial bank branches at the end of December 2025.
Kenya’s 10 largest county economies host more than two-thirds of commercial bank branches, concentrating physical banking services in regions generating most of the country’s economic output.
The distribution highlights the close relationship between economic activity and bank infrastructure, raising questions about access to formal financial services in counties outside the economic power points.
The counties-Nairobi, Kiambu, Mombasa, Nakuru, Meru, Machakos, Uasin Gishu, Kisumu, Kilifi and Kakamega-accounted for 1,096 of Kenya’s 1,611 commercial bank branches at the end of December 2025.
The concentration shows how banks continue to position physical outlets around established markets and commercial activity, rather than distributing branches evenly across the country.
Nairobi alone accounted for 596 branches, representing approximately 37 percent of the national network, while Kiambu followed with 95 branches and Mombasa with 118.
CBK data shows that Nakuru had 65 branches, Uasin Gishu 51, Meru 43, Kisumu 41, Kilifi 36, Machakos 34, and Kakamega 17.
The branch network increased by 38 outlets from 1,573 in December 2024 to 1,611 in December 2025, representing a 2.4 percent expansion during the year.
Nairobi registered the largest increase with seven additional branches, while Kiambu added six, indicating continued investment in established commercial and population centres.
The CBK attributed the national increase mainly to new branches opened by commercial banks in emerging growth areas, with 20 counties recording a net increase and 23 registering no change.
‘The increase in bank branches is mainly attributed to the opening of new branches by some commercial banks in emerging growth areas,’ said the apex bank in its report.
The expansion, however, was uneven, with four counties recording a combined decline of four branches during the reporting period, reflecting differences in banks’ geographical strategies.
The KNBS GCP estimates show significant disparities in the size of county economies, with Nairobi accounting for 27.4 percent of national Gross Value Added (GVA) in 2024.
Kiambu, Nakuru and Mombasa followed with shares of 5.5 percent, 5.2 percent and 4.8 percent, respectively, according to the 2025 Gross County Product report.
The four counties together contributed approximately 42.9 percent of national GVA, highlighting the concentration of productive activity in a small number of locations.
Nairobi’s position as the country’s principal commercial, financial and administrative centre supports demand for banking services from corporations, government institutions and households.
Kiambu’s proximity to Nairobi, alongside its industrial, residential and commercial activities, has helped make it a significant market for financial institutions.
Mombasa’s role as a port and coastal commercial centre, while Nakuru’s agricultural, trade and manufacturing activities, provide distinct economic bases for banking demand.
The dominance of physical branches in economically productive counties comes as financial institutions expand digital and agency channels, changing how customers access banking services.
The growth of digital banking allows institutions to serve customers without opening a full branch, potentially reducing the importance of physical proximity for routine transactions.
Branch networks, however, remain relevant for businesses requiring structured financial services, including credit applications, account support and other transactions that may require in-person engagement.
The CBK’s report notes that last year, banks continued to develop digital products, technology-based services and new approaches to financial delivery as part of sector modernisation.
But while the leading counties host the majority of commercial bank branches, economic output and access to formal financial services are not identical measures.
The KNBS 2025 Economic Survey reported that Kiambu had the highest formal financial inclusion rate at 94 percent in 2024, followed by Nairobi at 93.7 percent.
Kisumu recorded 91.2 percent, while Uasin Gishu and Machakos recorded 90.2 percent and 88.2 percent, respectively, according to the survey.
The concentration of bank branches in the largest county economies provides banks with access to markets containing substantial commercial activity, established businesses, and high transaction volumes.
It also exposes institutions to the risks of concentrating their physical operations in a limited number of markets, particularly where economic disruptions affect major urban and commercial centres.