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A list of Kenyan Banks That Have Collapsed

by | Aug 1, 2020 | Banking | 0 comments

In the wake of the collapse of Chase Bank, it is worth retracing Kenya’s banking sector’s “rich” history of having banking institutions go bust.

The First Wave (before passing of 1989 Banking Act); 1984-1989, Post-Independence; mainly family/community owned banks:

1.Union Bank

2.Jimba Credit Cooperation

3.Estate Finance

4.Estate Building Society

5.Business Finance

6.Nationwide Finance

7.Kenya Saving and Mortgages

8.Home Saving and Mortgages

9.Citizen Building Society

The Second Wave; 1993-1995: 19 banks collapsed, several of which had been wrapped up in the Goldenberg Scandal.

The Third Wave,1998

10.Bullion Bank

11.Fortune Finance

12.Trust Bank

13.City Finance Bank

14.Reliance Bank

15.Prudential Bank

2007 – 2015, under former Central Bank of Kenya (CBK) Governor Prof Njuguna Ndungu

16.Kenya Finance Corporation

17.Trade Bank

18.Euro Bank

19.Charter House

*None of the stated banks was put under liquidation.



June 2015 to present, under new Central Bank of Kenya Governor Patrick Ngugi Njoroge

20.Dubai Bank

Customer Deposits-Sh1.7 billion

•August 14, 2015; placed under statutory management by the Central Bank of Kenya for a period of one year with Kenya Deposit Insurance Corporation (KDIC) as the receiver manager.

•24th August 2015, CBK appoints KDIC as liquidator of Dubai Bank Kenya.

21.Imperial Bank

Customer Deposits-Ksh58 billion

•13 October 2015; placed by the Central Bank of Kenya under management and control of the state’s Kenya Deposit Insurance Corporation

Sources

Kenya National Assembly Official Record (Hansard) May 1999

centralbank.go.ke

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