Paul Arithi 
Kariuki Ngari,Managing Director & CEO Standard Chartered Bank Kenya Limited (Stanchart Bank)
Standard Chartered Bank Kenya Limited (Stanchart Bank) has released its results for the period ended 30 September 2025. Kariuki Ngari, Managing Director and Chief Executive Officer, said:
“We have delivered a resilient performance in the third quarter with profit before tax of KShs 13.2 billion, a 41 per cent drop year on year on account of revenue reduction and a one-off employee past service cost of KShs 2.7 billion following the Supreme Court ruling on 5 September 2025 and the Retirement Benefits Appeal Tribunal (RBAT) Orders.
He said he is to happy to inform stakeholders ont the substantively discharged the Orders issued by the RBAT.
Our Assets Under Management (AUM) closed at KShs 290 billion up 23 per cent from December 2024, bolstered by strong wealth solutions.
We continue to execute our strategy of combining differentiated cross-border capabilities with leading wealth management expertise underpinned by sustainability.”
Summary financial performance
- Operatingincome decreased 17 per cent on account of;
- Net interest income decreased by 10 per cent due to a decline in volume growth and margin compression on the back of declining interest rates. The decline has partially been mitigated by lower cost of funds on customer deposits and growth in interestincome from government
- Non-interest income decreased by 29 per cent from a decline in transactional volumes and margins in Transaction Services and Markets partially offset by growth in Wealth Solutions.
- Operating expenses increased 19 per centon account of a one-off employee past service cost of KShs 7 billion. Underlying expenses increased 1 per cent to fund business growth and digital capabilities.
- Impairment losses on loans and advances reduced 11 per cent from recoveries, prudent oversight of the loan book and a continued focus on asset quality.
The balance sheet remains strong, highly liquid, and well capitalised;
- Net loans and advances to customers decreased by 3 per cent due to a decline in transactionservices, personal and mortgages loans compared to December
- Thequality of our customer assets continued to improve with our non-performing loan ratio improving by 150 bps to 9 per cent from December 2024.
- Customerdeposits were down 4 per cent on account of reduction in customer balances compared to December 2024. Funding quality remains high with current and savings accounts making up to 97 per cent of total customer
- Theliquidity ratio at 6 per cent remains well above the regulatory threshold of 20 per cent.
- Totalcapital ratio of 6 per cent is above the regulatory minimum.
The RBAT Orders
Following the Supreme Court ruling on 5 September 2025, the Bank and the Trustees moved quickly to comply with the RBAT Orders.
The Bank was ordered to refund the surplus withdrawn from the Standard Chartered Kenya Pension Fund (the Scheme) in 2000. Since the year 2006, and as per the RBA regulations, the Bank has been funding the Scheme from time to time to cure actuarial deficits as well as to fund pension increases.
Taking this into consideration and interest thereof, in September 2025, the Bank increased the employer contributions to the Scheme by KShs 2.7 billion bringing the cumulative contribution to KShs 4.7 billion, ensuring compliance with the RBAT Order.
Consequently, as guided by ‘IAS 19 Employee Benefits’, the Bank recognised in the income statement, a past service cost of the employer contributions of KShs 2.7 billion. The Scheme is well funded to discharge its’ obligations to the 629 appellants.
Further, the RBAT ordered the Bank and the Scheme to pay KShs 2.5 billion to the 629 appellants. The Trustees of the Scheme began a verification process and as at 21 November 2025, had discharged the liability of KShs 1.9 billion to 499 appellants.
As ordered by the High Court, 30 per cent of the amounts due to the appellants has been withheld by the Scheme pending the adjudication of the costs due to the appellants’ representatives in the Case.
The Scheme continues the verification process of the remaining appellants.
In Artshell
The Kenyan economic environment remains stable with low inflation, stable currency and lower interest rates. However, we are conscious of the headwinds associated with growing complexities and uncertainties in the global macroeconomic environment.
The bank belief of the strength of our strategy and resilience of our people in supporting our clients navigate these challenging times.
Kariuki expressed appreciation to the colleagues for their dedication and consistent efforts to solve for clients.
