Absa Bank Kenya PLC has officially launched its custody services business in Kenya, enhancing its corporate banking offering across the region.
The new custody services will provide safekeeping and management of assets, facilitate settlement for local and cross-border investments, support compliance and statutory reporting, manage corporate actions, perform portfolio reconciliations, and deliver timely reporting to clients.
Target clients include fund managers (collective investment schemes and gratuity funds), pension fund trustees (occupational pension funds), life insurance companies (covering umbrella, individual, and post-retirement medical schemes), Saccos, Shariah-compliant investors, and other institutional investors.
The service was introduced during a stakeholder engagement forum in Nairobi, themed “Aligning to the Future of Investments.” Attendees included players from the pensions and capital markets sectors—pension administrators, fund managers, trustees, insurance firms, Saccos, industry associations, and regulators. Discussions focused on emerging investor needs, innovative technologies, alternative investments, and virtual asset custody.
Speaking at the event, James Agin, Managing Executive of Corporate and Investment Banking at Absa Bank Kenya, said:
“Custody services have often been overlooked as a strategic tool in finance. That’s changing. Today, custody plays a key role in financial solutions, and Absa is investing in this space to support our clients’ growth.”
Since launching the business, Absa has reported strong growth in both revenue and assets under custody, signaling positive market reception.
Absa’s Euroclear infrastructure licence also enables clients to access alternative investments—including Eurobonds, offshore securities, and commodities such as the Absa-sponsored Gold ETF, currently the only listed commodity on the Nairobi Securities Exchange. The bank is also preparing to support virtual assets in line with Kenya’s draft Virtual Assets Policy and proposed Virtual Assets Service Providers (VASP) Bill.
Mr. Agin emphasized Absa’s investment in technology to ensure efficient, tech-driven service delivery, aligned with future business needs.
To extend global market access, the bank has partnered with international custodians like BNY Mellon, State Street, and Societe Generale. It is also collaborating with regulators such as the Capital Markets Authority, Retirement Benefits Authority, Nairobi Securities Exchange, and Central Depository & Settlement Corporation to align with global best practices.
With custody services already operating in Kenya, South Africa, and Mauritius, Absa plans to expand the offering to Uganda and Ghana later this year, reinforcing its strategy to become a leading pan-African investment partner.
