Best Banks for Savings in Kenya 2025: Compare Interest Rates Up to 14%
Finding the right savings account in Kenya can significantly impact how fast your money grows. With interest rates ranging from 5% to an impressive 14%, choosing the right bank matters more than ever in 2025.
Quick Comparison: Best Savings Rates in Kenya 2025
| Bank/Platform | Interest Rate | Minimum Balance | Key Feature |
| Stanbic PureSave | 14% p.a. | KSh 500 | Highest rate + 1% bonus |
| Umba | 10% p.a. | None | 100% mobile, no fees |
| Equity Long-Term | 10.5% p.a. | KSh 1,000 | Best for committed savers |
| Absa Digital Savings | 9% p.a. | None | No fees, monthly compound |
| KCB M-Pesa Fixed | 8.5% p.a. | KSh 500 | Best locked mobile savings |
| KCB Simba Savings | 6-8.5% p.a. | KSh 1,000 | Tiered rates |
| NCBA Loop | Up to 7% p.a. | KSh 2,000 | Digital-first banking |
| Co-op Junior | 7% p.a. | KSh 200 | Best for children (0-18) |
| M-Shwari Lock | 6.31% p.a. | KSh 1 | Most accessible |
Top Banks for Savings in Kenya
1. Stanbic Bank PureSave Account - 14% Interest
Stanbic Bank offers the highest savings interest rate in Kenya at a remarkable 14% per annum on general savings accounts.
Key Features:
- Interest calculated daily, paid monthly
- 1% bonus if no withdrawals for 12 months (total 15%)
- Low minimum opening balance of KSh 500
- Free debit card
Best For: Savers who can commit to leaving money untouched for a year
2. Umba - 10% Interest
Umba has disrupted Kenyas digital banking space with an impressive 10% annual interest rate on savings.
Key Features:
- 100% mobile-based (no branch visits needed)
- No maintenance fees
- Daily interest calculation
- No minimum balance
- Instant account opening via app
Best For: Tech-savvy savers who want high returns without bank bureaucracy
3. Equity Bank Long-Term Savings - 10.5% Interest
Equity Bank rewards committed savers with one of the highest rates among traditional banks at 10.5% p.a.
Key Features:
- High interest for long-term commitments
- Integrated with Equity Mobile app
- Wide branch network (over 170 branches)
Best For: Savers who want high interest and physical branch access
4. Absa Bank Digital Savings Account - 9% Interest
Absa offers a competitive 9% annual interest rate with zero service charges.
Key Features:
- No minimum balance requirement
- No service charges
- Monthly compounded interest
Best For: Savers who want good returns with maximum flexibility
5. KCB M-Pesa Fixed Savings Account - 8.5% Interest
For M-Pesa users who want higher returns than M-Shwari, KCB M-Pesa Fixed Savings offers a guaranteed 8.5% p.a.
Key Features:
- Access directly via M-Pesa (*844#)
- Minimum deposit: KSh 500
- Lock period: 3, 6, or 12 months
- Interest paid at end of term
Best For: M-Pesa users who can lock away money for set periods
6. KCB Simba Savings Account - 6-8.5% Interest
KCB Simba Savings offers tiered interest rates that reward higher balances.
| Balance | Interest Rate |
| KSh 1,000 - 49,999 | 6% p.a. |
| KSh 50,000 - 199,999 | 7% p.a. |
| KSh 200,000+ | 8.5% p.a. |
7. NCBA Loop Account - Up to 7% Interest
NCBA Loop is a digital-first account offering competitive rates with minimal fees.
Key Features:
- Up to 7% interest on savings
- Interest earned on amounts over KSh 5,000
- No fees on most transactions
- Integrated with M-Shwari
8. Co-operative Bank Junior Account - 7% Interest
Co-op Bank offers the best childrens savings account in Kenya with 7% interest.
Key Features:
- For children aged 0-18 years
- 7% annual interest
- Low opening balance: KSh 200
9. M-Shwari Lock Savings - 6.31% Interest
While not the highest, M-Shwari remains Kenyas most accessible savings option.
Key Features:
- Minimum deposit: KSh 1
- Lock savings for 1, 3, or 6 months
- 6.31% annual interest
- Instant access via M-Pesa (*334#)
Important Considerations
Tax on Interest Income
Interest earned from savings accounts is subject to 15% withholding tax as per Kenya Revenue Authority regulations.
Deposit Protection
The Kenya Deposit Insurance Corporation (KDIC) protects deposits up to KSh 500,000 per depositor per bank.
Inflation Factor
Kenyas inflation rate fluctuates between 5-9%. To truly grow your wealth, your savings interest rate should exceed inflation.
Frequently Asked Questions
Which bank has the highest savings interest rate in Kenya?
Stanbic Bank currently offers the highest rate at 14% p.a. on their PureSave Account.
Is my money safe in digital banks like Umba?
Yes. Digital banks licensed by the Central Bank of Kenya must comply with the same regulations as traditional banks.
Can I have savings accounts at multiple banks?
Yes. Many Kenyans maintain accounts at several banks to maximize benefits.
Whats the difference between M-Shwari and KCB M-Pesa savings?
M-Shwari (powered by NCBA) offers 6.31% interest, while KCB M-Pesa Fixed Savings offers up to 8.5% but requires locking funds.
Conclusion
The best savings account for you depends on your specific needs. If you want the highest returns and can leave money untouched, Stanbic 14% rate is unmatched. For mobile convenience with good returns, Umba at 10% is excellent. For M-Pesa integration, KCB M-Pesa Fixed at 8.5% beats M-Shwari.
Last updated: December 2025. Interest rates subject to change.