Co-op Bank named Kenya's best retail and digital bank at 2026 Euromoney Awards

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Co-operative Bank of Kenya (Co-op Bank) has been named Kenya's Best Retail Bank and Best Digital Bank at the 2026 Euromoney Awards for Excellence, capping a year of strong performance and strategic transformation for the tier-one lender.

The awards, presented on 16 July at The Peninsula in London, recognised Co-op Bank's “customer-centric strategy and its success in blending traditional relationship banking with digital innovation.” The bank now serves over 9.8 million account holders, with more than 90 per cent of transactions processed through digital and alternative channels.

"Our customer-centric strategy and the progress we continue to make in combining trusted relationship banking with secure, accessible and innovative digital solutions," Group Managing Director and CEO Dr Gideon Muriuki said in a statement.

The recognition caps a remarkable turnaround for Co-op Bank under Muriuki's leadership. When he took the helm in 2001, the lender was nursing a Sh2.3 billion loss and languishing near the bottom of Kenya's banking sector. Today, it is one of East Africa's most profitable financial institutions.

The bank reported a record profit after tax of Sh29.75 billion for 2025, a 16.9 per cent increase from the previous year, driven by a 22 per cent surge in net interest income to Sh62.85 billion. Total operating income rose 13.9 per cent to Sh91.89 billion. The board proposed a total dividend of Sh2.50 per share, a 67 per cent increase from 2024.

In the first quarter of 2026, Co-op Bank posted its strongest-ever quarterly performance, with net profit jumping 21.3 per cent to Sh8.41 billion. The bank was also named one of Africa's Fastest Growing Companies in 2026 by the Financial Times.

The Best Digital Bank award recognises Co-op Bank's investment in digital onboarding, payment and credit capabilities, open-banking integrations, and a growing suite of digital-first solutions including the Co-op Bank App. Its e-credit platform has disbursed more than Sh520 billion since launch.

The lender's focus on small and medium enterprises has also drawn international acclaim. Co-op Bank was named SME Bank of the Year in Africa at the 2026 African Banker Awards and won SME Financier of the Year – Africa (Gold) at the Global SME Finance Awards 2025.

SMEs account for nearly 90 per cent of all businesses in Kenya and across Africa but remain largely locked out of formal credit, with the continent's SME credit gap estimated at Sh42.9 trillion, according to the International Finance Corporation.

In 2025, Co-op Bank disbursed Sh10.43 billion to MSMEs via its e-credit platform. It also signed a Sh233.1 million guarantee facility with the UN Capital Development Fund to unlock credit for youth-led digital businesses and finance solar-powered cold storage

The bank is currently restructuring into a non-operating holding company, Co-op Bank Group Plc, with a new subsidiary, Co-op Bank Kenya Ltd, assuming the domestic banking business. The move requires shareholder and regulatory approval and is seen as a platform for regional expansion.

Five subsidiaries will operate under the new structure, including Kingdom Bank, Co-optrust Investment Services, Co-op Bancassurance Intermediary, and Kingdom Securities. The bank's South Sudan operation returned to profitability in 2025, posting a Sh236.3 million pretax profit after a loss the previous year.

The bank operates 217 branches in Kenya, six in South Sudan, and a network of 16,000 Co-op Kwa Jirani agency outlets. It remains the financial arm of the country's 15-million-member cooperative movement.

The Euromoney Awards add to a growing list of accolades for the lender. Analysts at AIB-AXYS Africa have set a one-year target price of Sh33.38 on the stock, which has surged 95 per cent over the past year to trade at Sh27.00.