Nairobi, Kenya — Standard Chartered Bank Kenya recorded the lowest deposit interest rate in the country for September 2025, standing at just 3.23%, according to the latest data from the Central Bank of Kenya (CBK).
The rate is notably below those offered by other commercial banks, reflecting a growing gap in deposit returns across Kenya’s banking sector.
Other Banks Offer Higher Rates
Citibank N.A Kenya and Premier Bank Kenya Limited both offered deposit interest rates of 5.86%, while the Co-operative Bank of Kenya Limited provided a slightly higher rate of 6.04%.
At the upper end of the comparison, HFC Limited offered depositors 6.35%, the highest among the sampled institutions.
These figures demonstrate a significant variation in returns available to Kenyan savers depending on where they bank.
What Lower Deposit Rates Mean for Savers
Lower deposit rates mean that customers earn less interest on their savings, potentially impacting long-term wealth accumulation and savings growth.
However, financial analysts note that banks offering lower returns often attract deposits due to their brand trust, wider branch networks, and digital convenience, rather than the lure of higher interest earnings.
“For many Kenyans, convenience and reliability matter more than marginal differences in returns,” said a Nairobi-based financial analyst.
Wider Implications for Kenyan Savers
The disparity in deposit rates underscores the importance of comparing financial institutions before choosing where to save.
Experts recommend that savers regularly review their bank’s rates and consider alternative saving products such as fixed deposit accounts, money market funds, or SACCO investments, which often offer better yields.
