Absa Bank Kenya PLC has revealed its ambitious strategy to bolster its presence across the nation with the establishment of over 17,000 agency service outlets within the next two years.

The initiative, which seeks to provide greater access to financial services, will commence with an immediate expansion of the Bank’s agency network from 600 to more than 3,000 outlets, with the aim of extending its reach to underserved areas.

This expansion project is a significant step in Absa's strategy to meet its long-term growth and financial inclusion objectives.

By widening the availability of essential banking services, the Bank will cater to both existing and new customers, facilitating cash deposits, withdrawals, and various other transactions via third-party outlets.

The move aligns with Absa's broader purpose of 'Empowering Africa's tomorrow together, one story at a time' and reflects the Bank’s new customer-centric brand promise, 'Your Story Matters'.

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The initiative is particularly focused on improving financial service delivery to communities that traditionally have limited access, through a third-party network including general shops and convenience stores.

Commenting on the development, Abdi Mohamed, Managing Director and CEO of Absa Bank Kenya PLC, stressed the Bank’s dedication to supporting customers across diverse demographics, whether digitally, in-branch, or through third-party agents.

"As a full-service Bank, we cater to customers from all walks of life – from clients who only interact with us digitally, to those who prefer the reassurance of talking to one of our colleagues in-branch or through a third party, we are a Bank for all seasons," Mohamed stated.

He further added, "As we embrace the evolving landscape, agency network is a critical piece of how we serve our customers, and we are keen on it. Our footprint will continue to grow over time, and we are focused on demystifying banking for all."

The initiative not only enhances customer experience but also contributes to business efficiency and economic growth, particularly in areas lacking essential financial services.

“This distribution model will not only drive efficiency in our business as we empower individuals and businesses to thrive but also contribute to the growth of our economy by facilitating essential financial services in underserved areas," Mohamed elaborated.

Absa’s expansion taps into the growing preference for alternative banking channels in Kenya.

The convenience of agency banking is becoming increasingly popular, as evidenced by the Central Bank of Kenya's Annual Report for the financial year 2022/23.

The report highlighted that by June 2023, 21 commercial banks and three microfinance institutions had embraced agency banking, with a combined total of 85,328 and 936 active agents respectively, since the model was introduced in 2010.

The report also noted a surge in transactions conducted through agents, with 1.3 billion transactions recorded by June 2023, up from 1.1 billion in June 2022.

Moreover, the total value of these transactions rose from Sh9.0 trillion to Sh10.8 trillion over the same period, indicating a growing reliance on agency banking services across the country.

Absa’s latest drive to expand its agency network aligns with this broader national trend, positioning the Bank as a key player in the provision of accessible and convenient financial solutions across Kenya.