Quick Summary: I&M Bank Targets 100 Branches By 2026 Amid Digital Banking Boom
- Kenyan banks added 62 branches last year, despite the digital banking trend.
- I&M Bank aims to reach 100 branches by 2026, highlighting a measurable growth target.
- 87% to 97% of transactions occur digitally, yet banks still invest in physical branches.
- 47% of customers prefer branches for experience, according to a KPMG survey.
- Banks target emerging towns and commercial areas to capture new customers.
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In an era where digital banking reigns supreme, Kenyan banks are defying expectations by aggressively expanding their physical branch networks. Despite the dominance of online transactions, banks like I&M, Equity, and Co-operative are racing to surpass the 100-branch mark. This move is not just about nostalgia; it’s a strategic play to capture untapped markets and deepen customer relationships. Branches is at the center of this development.
The contradiction is striking: while digital channels handle the bulk of transactions, with some banks reporting up to 97% of operations happening online, the physical branch remains a crucial element in the banking strategy. It’s not about transactions anymore; it’s about presence, trust, and customer engagement. I&M Bank, for instance, is on a mission to double its branches by 2026, a bold statement of intent in the face of digital dominance.
Customer behavior is a key driver behind this expansion. Surveys reveal that while mobile banking is convenient, nearly half of the customers still value the experience and trust offered by physical branches. This insight has prompted banks to invest in branches, particularly in emerging towns and high-growth commercial zones, targeting SMEs and retail deposits that digital channels alone cannot secure.
The stakes are high. As banks continue to report high digital transaction percentages, the real challenge lies in transforming these expanded networks into profitable growth engines. The question isn’t whether branches will survive; it’s whether they can thrive in a digital-first world.
In an earlier Business Daily report that helps explain the current push, I&M Kenya CEO Gul Khan said the lender wants to double its physical branches in Kenya to 100 by the end of 2026 as part of a retail-banking offensive. The key near-term milestone is whether I&M actually reaches 100 branches by the end of 2026, a target now repeated across Business Daily’s coverage.
Business Daily previously reported that 87 percent of KCB transactions were happening outside branches, while Equity said 97 percent of its transactions were outside the branch and Co-operative Bank put its figure at 87 percent. Another Business Daily report cited a KPMG customer-experience survey in which 47 percent of bank clients said branch customer experience was the reason for their preferred banking channel.
What makes the story newsworthy is the contradiction at its core: the same banks pushing apps, internet banking and agency channels are also spending on brick-and-mortar expansion in smaller towns and high-growth commercial zones. The standout bank in the latest reporting is I&M Bank Kenya, which Business Daily says added at least eight branches in the previous year and remains on course to hit 100 by the end of next year.
The real question now is not whether branches survive, but which banks can turn a 100-plus network into profitable customer growth before the cost of maintaining it starts to bite. The most important new detail in the latest reporting is that Kenyan banks are still adding physical outlets at scale even after digital channels took over most daily transactions, with Business Daily reporting that lenders added 62 branches in the last year and that several banks are now explicitly racing to cross the 100-branch mark.
More broadly, the next test will come in bank earnings and sector reports: if lenders keep disclosing that 90 percent or more of transactions remain digital while branch counts keep rising, the industry will have effectively settled on a costly but deliberate omni-channel model. The latest article says the branch push has been sustained “this year,” not treated as a one-off experiment, which is the clearest sign that senior bank executives think physical presence still wins deposits and relationships.
47% of customers prefer branches for experience, according to a KPMG survey. Quick Summary: More banks chase 100-plus branches despite digital shift – Business Daily Kenyan banks added 62 branches last year, despite the digital banking trend.
I&M Bank aims to reach 100 branches by 2026, highlighting a measurable growth target. 87% to 97% of transactions occur digitally, yet banks still invest in physical branches.
The key near-term milestone is whether I&M actually reaches 100 branches by the end of 2026, a target now repeated across Business Daily’s coverage. Another Business Daily report cited a KPMG customer-experience survey in which 47 percent of bank clients said branch customer experience was the reason for their preferred banking channel.
Despite the dominance of online transactions, banks like I&M, Equity, and Co-operative are racing to surpass the 100-branch mark. The standout bank in the latest reporting is I&M Bank Kenya, which Business Daily says added at least eight branches in the previous year and remains on course to hit 100 by the end of next year.
The scale and speed of this development has caught many observers off guard. Each new update adds another dimension to a story that is still unfolding, and the full picture will only become clear as more verified details emerge from the people and institutions directly involved.
Analysts who have tracked this issue closely say the current moment represents a genuine turning point. The decisions made in the coming weeks are expected to set the direction for months ahead, with ripple effects likely to extend well beyond the immediate actors in the story.
For those directly affected, the practical impact is already visible. People navigating this fast-changing situation are dealing with real consequences while new information continues to reshape what is known and what remains open to interpretation.
Historical parallels offer some context, though experts caution against drawing too close a comparison. Similar situations have played out before, but the specific combination of pressures, personalities, and timing here makes this moment distinct in ways that matter for how it ultimately resolves.
The political and economic dimensions of this story are deeply intertwined. What appears as a single event on the surface is in practice the convergence of multiple pressures that have been building quietly over a longer period than most public reporting has captured.