Caritas Microfinance eyes Ksh.21.4B asset base by 2030

Caritas Microfinance Bank has unveiled an ambitious growth plan under its Strategic Plan (SP3) 2026-2030, targeting an asset base of Ksh.21.4 billion by 2030 through digital transformation, expanded lending and deeper penetration of the micro, small and medium enterprises (MSME) market.

Speaking during the lender's Annual General Meeting in Nairobi, Chief Executive Officer David Mukaru said the bank aims to grow its customer base to more than 300,000 accounts and achieve a 98 per cent digital adoption rate as it strengthens its position in Kenya's microfinance sector.

The Strategic Plan 2026-2030 seeks to grow the bank's asset base from the current Ksh.6.42 billion to Ksh.21.4 billion over the next five years, supported by increased lending, deposit mobilisation and technology-driven services.

The lender posted strong financial results in 2025, with total assets rising by 30.7 per cent to Ksh.6.42 billion.

Net advances increased by 27.3 per cent to Ksh.3.86 billion, while customer deposits grew by 29.4 per cent to Ksh.5.36 billion. Total income rose to Ksh.949 million, while profit before tax stood at Ksh.74.3 million.

Mukaru said the bank will leverage technology, product diversification and operational efficiency to drive growth while expanding financial inclusion among underserved households and small businesses.

The bank is also undertaking a loan portfolio clean-up and restructuring programme to improve asset quality amid economic pressures facing households and MSMEs.

The expansion comes as lenders move to strengthen their balance sheets ahead of the Central Bank of Kenya's requirement for banks to raise minimum core capital to Ksh.5 billion by the end of 2026.

Caritas said it will continue prioritising MSMEs, a sector that contributes about 40 per cent of Kenya's GDP and supports an estimated 15 million jobs.