Paramount Bank Kenya has exceeded the Central Bank of Kenya’s (CBK) minimum core capital requirement of KES 3 billion by December 2025 on the back of a successful rights issue that raised KES 332 million from existing shareholders.
According to the Business Laws (Amendment) Act, 2024, the CBK requires commercial banks to progressively increase their minimum core capital to enable them sustain growth and enhance their resilience amid increasing risks. The reforms raised the minimum core capital the minimum core capital from KES 1 billion to KES 10 billion. The increase will be made progressively over 5 years to ensure that the banks are able to mobilize the additional capital.
Paramount Bank’s core capital stood at KES 3.12 billion in September 2025, up 16.9% from KES 2.67 billion recorded in December 2024, positioning the bank to accelerate its expansion strategy, support larger lending portfolios, strengthen digital transformation, and enhance customer centric products across retail, SME, and corporate segments.
Paramount Bank Q3 Performance
In the nine months ended September 2025, Paramount Bank posted steady financial performance, with profit after tax inching up 0.7% to KES 234.8 million from KES 233.2 million in the same period last year. Net interest income eased by 5% to KES 474.9 million, while non-funded income surged 93.1% to KES 280 million.
Paramount Bank’s operating expenses rose sharply by 31% to KES 548.8 million. Customer deposits increased by 5% to KES 12.9 billion, while loans and advances grew by 4.4% to KES 8.6 billion, maintaining the loan to deposit ratio at 66.6%, unchanged from Q3 2024. The lenders asset quality deteriorated, evidenced with a 48.3% surge in Gross non-performing loans to KES 2.2 billion.
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