Total microfinance deposits in Kenya only grew 1.66% CAGR over 10 years, ending at KSh 43.0B

  • Microfinance deposits in Kenya grew at only 1.66% CAGR between 2014 and 2024.
  • The peak occurred in 2021 at KSh 50.2B, after which deposits began a steady decline.
  • 2015 (+13.2%) and 2020 (+12.3%) posted the strongest year-on-year growth rates.
  • The sector saw consecutive contractions from 2022 (-7.3%), 2023 (-5.7%), to 2024 (-2.0%).
  • Despite small rebounds in 2018 (+7.3%) and 2019 (+12.3%), the long-term trend is weak.

Kenya’s microfinance banks have seen only marginal growth in deposits over the last decade, with a compound annual growth rate (CAGR) of 1.66% between 2014 and 2024. In 2014, deposits stood at KSh 35.9 billion, and by 2024, they had reached KSh 43.0 billion. While there were moments of strong growth, such as in 2021 when deposits reached KSh 50.2 billion, the overall picture shows stagnation, with recent years trending downward.

Source:

Central Bank of Kenya (CBK

Period:

2014–2024
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