In a major move that reflects its pan-African ambitions, Nigeria’s Access Bank has received full regulatory approval to acquire the National Bank of Kenya (NBK).
The approval came via Gazette Notice No. 4667 issued on April 11, 2025, with Central Bank of Kenya (CBK) Governor Dr Kamau Thugge confirming that the final nod from Treasury Cabinet Secretary John Mbadi was granted on April 10.
This acquisition gives Access Bank 100% control of NBK and clears the way for a strategic consolidation with its existing Kenyan operations.
KCB’s Strategic Exit
NBK, a bank incorporated in 1968 and once fully owned by the Kenyan government, was acquired by KCB Group in 2019 to rescue it from financial instability.
Despite efforts to revive the bank, NBK continued to be burdened by a heavy portfolio of non-performing loans. For KCB, selling NBK to Access Bank marks a significant clean-up move, shedding a challenging asset and its associated liabilities from its books.
In conjunction with the acquisition, CBK also approved the transfer of specific NBK assets and liabilities to KCB Bank Kenya Limited, ensuring a structured wind-down of legacy issues.
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Access Bank’s Expanding African Footprint
Access Bank, a subsidiary of Access Holdings PLC, has been aggressively expanding its African presence. With operations in Botswana, Ghana, South Africa, the DRC, the UK, and now a strengthened base in Kenya, Access Bank is positioning itself as a continental leader in commercial banking.
The acquisition of NBK offers Access not just to scale but also to deep market penetration in Kenya, East Africa’s most vibrant economy.
This deal is part of a broader vision to build a unified banking infrastructure across the continent, leveraging economies of scale and digital innovation to serve a growing customer base.
A Deal Years in the Making
The acquisition journey began in March 2024 when Access Bank and KCB Group signed a share purchase agreement. Given that both banks are multinational and publicly listed, the deal required multiple layers of regulatory approvals, including those from the Competition Authority of Kenya and regional antitrust agencies.
These approvals stretched over a year, reflecting the complexity and significance of the transaction.
One key condition from Kenya’s Competition Authority was that Access Bank retain at least 80% of NBK staff post-merger, a move aimed at protecting jobs and preserving institutional knowledge during the transition.
Lessons from Past Attempts
This isn’t Access Bank’s first attempt to deepen its roots in Kenya. In 2019, it acquired Transnational Bank to get a foothold in the local market.
Later, it tried to acquire Sidian Bank from Centum Investments, but that deal fell through. Thus, the NBK acquisition is a kind of redemption arc, a second, bigger opportunity to establish a strong presence in the area.
Interestingly, Access Bank has also been navigating regulatory conditions from its home country. Reports from March 2025 indicated that the Central Bank of Nigeria required the bank to divest from certain markets like the DRC before advancing with the NBK acquisition, highlighting the interconnectedness of African financial regulators.
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What This Means for Kenya’s Banking Sector
The CBK has openly welcomed the transaction, noting that it will enhance the stability and resilience of the banking sector.
By bringing in a deep-pocketed, growth-focused institution like Access Bank, Kenya stands to benefit from increased competition, technological investment, and broader financial inclusion.
Moreover, Access Bank’s track record of digital innovation and cross-border service delivery could help modernise NBK’s operations, enabling it to offer more relevant, tech-driven financial solutions to Kenyan consumers.
Looking Ahead
Access Bank’s acquisition of National Bank of Kenya isn’t just a corporate transaction; it’s a strategic move that speaks volumes about the future of African banking. With the deal finally approved, all eyes will now be on how the Nigerian banking powerhouse integrates NBK and leverages its presence to transform the financial landscape in Kenya and beyond.
