Postbank
Postbank Kenya is a government-owned savings bank, established in 1910, operating 98 outlets nationwide. It provides tax-free savings accounts, mobile and USSD banking, agency banking, money transfer services, and government disbursements to retail, youth, chama, pensioner, and corporate customers.
- Company typePrivate
- Founded1910
- HeadquartersNairobi, Kenya
- Headcount501–1,000
- GTM typeB2C
- OfferingServices
What Postbank does
Postbank Kenya, legally known as the Kenya Post Office Savings Bank, is a government-owned savings bank wholly owned by the Government of Kenya and reporting to the Ministry of Finance. Established in 1910 as a savings department within the East African Common Services and reconstituted as a standalone bank after the 1977 breakup of the East African Community, Postbank operates 98 outlets across Kenya and is regulated under the Kenya Post Office Savings Bank Act (Cap 493B). Its core mandate is the mobilization of savings for national development, with a focus on financial inclusion for underserved retail segments.
The bank runs a unified digital banking platform built around the Patacash mobile banking service (USSD *498# and a mobile app) plus an Internet Banking portal, both integrated with the Bore core banking system and an Enterprise Service Bus. The product portfolio spans eight savings account variants (M-Chama for groups, Bidii, Save As You Earn (SAYE), Step for youth, Akiba, Akiba Pension, Waridi for women, Smata for minors), a Premium Plus corporate term deposit (minimum Ksh 300,000), agency banking services, and international remittances through Western Union, MoneyGram, and Ria. Differentiated technology features include USSD access for non-smartphone users, M-Chama chama management functionality, M-PESA interoperability via Pay Bill 200999, and Kenswitch/PesaPoint ATM connectivity.
Postbank's revenue model rests on four streams: interest income on tax-free savings deposits (under Section 35 of Kenya's Income Tax Act, equivalent to roughly 12.86% taxable yield), transactional fees (counter, mobile, ATM, card issuance), agency banking commissions earned from serving customers of 10 partner banks (NCBA, ABSA, Stanbic, I&M, Credit Bank, etc.), and money transfer commissions. The bank serves a diversified base of individual retail customers, youth, women, pensioners, savings groups (chamas), corporates, and government entities, with the Government of Kenya itself a major counterparty for pension, student loan (HELB), and salary disbursements.
Postbank firmographics
Firmographics- Name
- Postbank
- Legal name
- Kenya Post Office Savings Bank
- Website
- https://postbank.co.ke
- Company type
- Private
- Founded year
- 1910
- Operating status
- Operating
- Headcount range
- 501–1,000 employees
- Short description
- Postbank Kenya is a government-owned savings bank, established in 1910, operating 98 outlets nationwide. It provides tax-free savings accounts, mobile and USSD banking, agency banking, money transfer services, and government disbursements to retail, youth, chama, pensioner, and corporate customers.
- Ownership category
- akta.pro rank
Postbank industry classification
Industry- Product category
- Retail Banking
- NAICS
- Savings Institutions and Other Depository Credit Intermediation (52218)
- SIC
- Savings Institution, Federally Chartered (6035)
- akta.pro primary industry
- Savings Banks (Public/State-Owned) (FSABAKAK)
- akta.pro secondary industry
- Financial Inclusion & Consumer Empowerment (Banking Access, Credit Building) (BPAGALAJ)
Keywords
Where Postbank is headquartered
LocationHeadquarters
- HQ city
- Nairobi
- HQ country
- Kenya
- HQ region
- Africa
Offices5 records
Markets served
Postbank business model
Business model- GTM type
- B2C
- Offering type
- Services
- Cost components
- Personnel, Operations, Technology or R&D, Infrastructure, Marketing or Sales
Revenue model
- Interest Income: Postbank earns interest income primarily from its savings products, with tax-free interest rates offered on savings accounts under Section 35 of Kenya's Income Tax Act. The Premium Plus Account offers competitive rates equivalent to 12.86% in taxable alternatives, with potential 30% tax savings.
- Transaction Fees: Fees generated from various banking transactions including ATM withdrawals (max Ksh 40,000 daily), counter withdrawals (Kshs 70), mobile/USSD withdrawals (minimum Kshs 59), card processing fees (Kshs 400-660), and account maintenance where applicable.
- Agency Banking Services: Revenue from providing banking services to customers of other financial institutions including cash collection, cheque deposits, salary/wage payments, pension disbursements, and student loan disbursements.
- Money Transfer Services: Fees from MoneyGram, Western Union, and Ria money transfer services offered through Postbank's 98 outlets. Postbank acts as an agent for international money transfer companies.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Unit Pricing | Pay-as-you-go | Waridi Ladies Account with Kshs. 500 opening balance, Kshs. 100 operating balance |
| Unit Pricing | Pay-as-you-go | Bidii Savings Account with Kshs. 800 opening balance, Kshs. 200 operating balance |
| Unit Pricing | Pay-as-you-go | Step Account for youth (18-28 years) with Kshs. 200 opening balance |
| Unit Pricing | Pay-as-you-go | Premium Plus Corporate Term Deposits with Kshs. 300,000 minimum consolidated funds |
| Transaction based/ take rate | Pay-as-you-go | Mobile/USSD Transaction Fees |
| Transaction based/ take rate | Pay-as-you-go | M-Chama Group Account Transactional Charges |
| Unit Pricing | Pay-as-you-go | ATM and Card Services |
| Unit Pricing | Pay-as-you-go | Company/Business Account |
Go-to-market motion2 records
Distribution channels8 records
Marketing channels8 records
Postbank product offering
Product offeringCore offering
Postbank (Kenya Post Office Savings Bank) is a Kenyan government-owned savings bank that primarily offers tax-free savings accounts, term deposits, mobile and internet banking, agency banking, and international money transfer services (Western Union, MoneyGram, Ria). It serves retail customers, youth, women, pensioners, savings groups (chamas), and corporate depositors through 98 outlets, an agent network (Postbank Mashinani), and digital channels, while also handling government disbursements such as pensions, salaries, and student loans.
Product overview
Postbank Kenya offers a unified savings banking platform centered on affordable savings accounts with tax-free interest. The core product portfolio spans 8 savings account types (M-Chama for groups, Bidii, SAYE contractual savings, Step for youth, Akiba basic, Akiba Pension, Waridi ladies account, Smata for minors), a Premium Plus corporate term deposit, digital banking via Patacash mobile app/USSD and Internet Banking, agency banking services, and money transfer partnerships (Western Union, MoneyGram, Ria). The digital channels (Patacash, Internet Banking) serve as the primary access layer across all account types, enabling transfers to M-PESA, bill payments, and interbank transactions. The product architecture is single-platform with multiple account variants targeting distinct customer segments rather than a modular platform-plus-addons model.
Differentiator
Problem solved
Functional benefit
Brands
- Patacash: Mobile banking service that allows customers to transfer funds from their Postbank account to M-PESA or to another Postbank account, offered under partnership with Safaricom.
- Postbank Mashinani
Products and services
- M-Chama Account Group savings account for registered and unregistered chamas (savings groups) offering SMS notifications, mobile access, and functionalities for member contributions, loans, savings, social funds, and share-outs. Targeted at savings groups and chamas seeking transparent group financial management.
- Bidii Savings Account Flexible savings account for individual retail customers with Visa debit card access, 24-hour ATM availability, paperless banking, and attractive tax-free interest rates graduated on account balances. Opening balance Kshs. 800 with no maintenance/ledger fees.
- Save As You Earn (SAYE) Account Contractual savings plan with multiple contract periods, tax-free interest, flexible contribution modes (check-off, standing order, M-Pesa), and rollover options for mature contracts. Available to employed and self-employed individuals saving for future goals.
- Step Account Electronic savings account designed for youth and students aged 18-28 years with a low opening balance of Kshs. 200. Enables students to access HELB Kenya funds and serves as a first-time banking product.
- Akiba Account Basic savings account for Kenyans aged 18+ years, operated exclusively over the counter with no ATM card. Features free monthly withdrawals, attractive tax-free interest, and access to 98 branches countrywide.
- Akiba Pension Account Savings account exclusively for pensioners and retirees with no opening/operating balance requirements, no maintenance fees, and a free Postbank Visa Debit Card. Designed for retirees managing pension disbursements.
- Waridi Ladies Account Ladies-only savings account (18+ years) with instant Visa Debit Card, preferential tax-free interest rates, discounted transactional fees, and qualification for Postbank Jijenge Loans after 6 months. Kshs. 500 opening balance.
- Smata Account Savings account for children and youth aged 0-18 years. Operated by parent/guardian for ages 0-11, and by youth with minimal supervision for ages 12-18 with ATM card access.
- Premium Plus Account Corporate term deposit account with a minimum investment of Kshs. 300,000, investment periods of 3-12 months, and tax-free interest rates equivalent to 12.86% taxable returns. No maintenance or ledger fees; option to amalgamate funds for higher interest.
- Patacash Mobile Banking Mobile banking service enabling customers to transfer funds from Postbank accounts to M-PESA or other Postbank accounts, balance enquiries, bill payments, airtime purchase, and savings group operations. Accessible via USSD *498# and mobile app without requiring smartphone or internet connectivity.
- Internet Banking Online banking platform for individuals, groups, companies, and businesses with Postbank accounts. Enables balance checks, fund transfers between Postbank accounts, MNO wallet transfers, bill payments, airtime purchase, and interbank transfers via Pesa-Link.
- Agency Banking Services Branchless banking services through Postbank agents (Postbank Mashinani) offering cash deposits, withdrawals, balance enquiries, salary payments, pension payments, and utility bill payments including Kenya Power and water services across multiple counties.
- Western Union Money Transfer Instant money transfer service offered as a Western Union agent, enabling customers to send and receive cash globally with speed and guaranteed security through 98 Postbank outlets and sub-agents.
- MoneyGram Money Transfer Global money transfer service offered through all 98 Postbank outlets, providing secure ways to send and receive money worldwide with instant cash payouts.
- Ria Money Transfer Money order and transfer service offered as a Ria Money Transfer agent through all Postbank branches, providing fast low-rate international money transfers with free collection for receivers.
Quantifiable outcome
- 12.86% equivalent interest rate on Premium Plus Account compared to other taxable savings/investments
- +1 more outcomes
Companies that use Postbank
Customer profileNamed customers13 records
Segments7 records
Ideal customer profiles5 records
Postbank technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Integration8 records
Feature4 records
Postbank partnerships and signals
Strategic signalPartnerships
26 partnerships are on record, tiered core and minor.
- Metropol CRBcorePostbank Managing Director Raphael Lekolool and Metropol CRB CEO Gideon Kipyakwai signed a Memorandum of Understanding (MoU) to formalize a partnership advancing financial literacy among young people across Kenya. The collaboration aims to empower youth with knowledge and skills for informed financial decisions.
- MoneyGramcoreLong-standing partnership with MoneyGram for money transfer services. Postbank offers MoneyGram services through all 98 outlets, providing secure ways to send and receive money worldwide with instant cash payouts.
- Western UnioncorePostbank is an agent of Western Union money transfer services in Kenya. Western Union instant money transfer service allows customers to instantly transfer cash electronically to another individual or company.
- Ria Money TransferminorRia money transfer services available at Postbank branches for sending and receiving international remittances with low rates.
- Safaricom/M-PESAcorePartnership with Safaricom for Patacash mobile banking service and M-PESA integration. Mobile banking allows transfers to M-Pesa wallets, deposits via Pay Bill 200999, and USSD access via *498#.
- Bureau VeritasminorISO 9001:2015 certification body that conducted quality management system recertification audit for Postbank.
- National Youth Service (NYS)coreGovernment-to-government partnership including financial literacy training for NYS officers and cohorts, disbursement of servicemen/women allowances, and tree planting initiatives (pledged to plant one million trees).
- NETFUND (National Environment Trust Fund)minorPartnership for tree growing initiatives to combat deforestation and mitigate climate change effects. Postbank CEO presented cheque to NETFUND CEO for tree planting campaigns.
- Athi Water Works Development AgencyminorPartnership for Karimenu II Dam tree planting and catchment conservation campaign as part of environmental sustainability efforts.
- Amina Myren FoundationminorPostbank Managing Director presented cheque to Amina Myren Foundation in support of school feeding program in Samburu and Kajiado Counties.
- Kenya Defence ForcesminorPostbank Chairperson Amb. Sarah Serem and Chief of Defence Forces General Charles Muriu Kahariri engaged in courtesy visit celebrating longstanding partnership and exploring future collaboration. Includes donation to 77 Artillery Battalion.
- Kenya Prisons ServiceminorPostbank sponsored the 2022 Annual Inter-Regional Prisons Cross-Country Championship, donating trophies and engaging in CSR activities.
- KenswitchcoreNetwork partnership enabling Postbank customers to access ATMs at Kenswitch network nationwide.
- Kenya Institute of BankersminorPostbank participated in the 36th Kenya Institute of Bankers Interbanks Games between 22nd and 29th October 2022, enrolling in 38 disciplines and winning trophies.
- Kenya Institute of ManagementminorPostbank received recognition from Kenya Institute of Management for operational excellence and transformation at COYA Awards.
- National Bank of KenyacoreAgency banking partnership allowing National Bank of Kenya customers to conduct transactions at Postbank locations.
- ABC BankcoreAgency banking partnership allowing ABC Bank customers to conduct transactions at Postbank locations.
- Credit BankcoreAgency banking partnership allowing Credit Bank customers to conduct transactions at Postbank locations.
- Stanbic BankcoreAgency banking partnership allowing Stanbic Bank customers to conduct transactions at Postbank locations.
- Oriental Commercial BankcoreAgency banking partnership allowing Oriental Commercial Bank customers to conduct transactions at Postbank locations.
- ABSAcoreAgency banking partnership allowing ABSA customers to conduct transactions at Postbank locations.
- Housing FinancecoreAgency banking partnership allowing Housing Finance customers to conduct transactions at Postbank locations.
- I&M BankcoreAgency banking partnership allowing I&M Bank customers to conduct transactions at Postbank locations.
- First Community BankcoreAgency banking partnership allowing First Community Bank customers to conduct transactions at Postbank locations.
- NCBA BankcoreAgency banking partnership allowing NCBA Bank customers to conduct transactions at Postbank locations.
- South African Reserve BankcorePostbank received 15-month extension from South African Reserve Bank for card distribution and replacement responsibilities in South Africa.
Scale indicators5 records
Recent moves6 records
Expansion highlights5 records
Postbank competitors and assessment
Company assessmentDirect peers
- KCB Bank Kenya: KCB Bank Kenya is the country's largest commercial bank, operating a nationwide branch network, agency banking, and digital platforms. It is directly comparable as a full-service retail bank competing with Postbank for deposits, salary accounts, and government disbursements.
- Equity Bank Kenya: Equity Bank is a leading Kenyan mass-market retail bank with an extensive agency banking model and mobile-first digital strategy. It targets the same financial-inclusion and low-balance retail customers that Postbank serves, and is the most directly comparable competitor in chama, youth, and unbanked segments.
- Co-operative Bank of Kenya: Co-operative Bank is one of Kenya's largest banks with a strong retail and cooperative-society deposit base. It competes head-on with Postbank for retail savings, salary accounts, and saccos/chama-linked customers.
- NCBA Bank Kenya: NCBA Bank Kenya is a top-five Kenyan commercial bank offering retail, corporate, and digital banking. It is a Postbank agency banking partner and a direct competitor for retail deposits, government salary accounts, and digital-first customers via the M-Shwari/M-Stawi mobile credit product.
- Absa Bank Kenya: Absa Bank Kenya is a full-service commercial bank serving retail, SME, and corporate customers with a strong digital offering. It is a Postbank agency banking partner and a direct competitor in retail savings and transactional banking.
- National Bank of Kenya: National Bank of Kenya is another government-owned commercial bank, also under the Ministry of Finance, with a national branch footprint and similar government salary/payment disbursement mandate. It is the closest structural peer to Postbank given shared sovereign ownership and mandate overlap.
- Family Bank: Family Bank is a mid-sized Kenyan retail bank targeting mass-market customers, SMEs, and the diaspora with agency banking and digital channels. Comparable to Postbank in segment focus, scale, and the emphasis on affordable retail products.
- I&M Bank: I&M Bank is a Kenyan commercial bank with a strong retail and corporate presence and an active agency banking partnership with Postbank. Comparable in retail deposit-taking and digital banking investments.
- Stanbic Bank Kenya: Stanbic Bank Kenya, part of Standard Bank Group, is a full-service commercial bank with retail and corporate banking. It partners with Postbank on agency banking and competes for similar retail and government-linked accounts.
- South African Postbank: South African Postbank is a state-owned postal savings bank with a parallel mandate to drive financial inclusion and disburse government social grants (SASSA). It is the closest international structural peer to Kenya Postbank given shared sovereign ownership and social-disbursement mandate.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat5 records
Key risks7 records
Key highlights7 records
Customer concentration
Postbank social profiles
Digital presencePostbank compliance and trust
Trust signalCompliance2 records
Postbank financial estimates
Financial estimateRevenue estimate
Valuation estimate
Postbank leadership team
Management profileNumber of profiles
Profiles12 records
Postbank funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Postbank M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Postbank
What does Postbank do?
Postbank (Kenya Post Office Savings Bank) is a Kenyan government-owned savings bank that primarily offers tax-free savings accounts, term deposits, mobile and internet banking, agency banking, and international money transfer services (Western Union, MoneyGram, Ria). It serves retail customers, youth, women, pensioners, savings groups (chamas), and corporate depositors through 98 outlets, an agent network (Postbank Mashinani), and digital channels, while also handling government disbursements such as pensions, salaries, and student loans.
Is Postbank a public or private company?
Postbank is a private company. It is classified as state government owned and is currently operating.
When was Postbank founded?
Postbank was founded in 1910. It employs 501 to 1,000 people.
Where is Postbank based?
Postbank is headquartered in Nairobi, Kenya, in the Africa region.
How does Postbank make money?
Four revenue lines are on record. Interest Income is the primary driver. The others are transaction Fees, agency Banking Services and money Transfer Services.
Who are Postbank's main competitors?
Direct peers on record are KCB Bank Kenya, Equity Bank Kenya, Co-operative Bank of Kenya, NCBA Bank Kenya, Absa Bank Kenya, National Bank of Kenya, Family Bank, I&M Bank, Stanbic Bank Kenya and South African Postbank.
Does Postbank have an API?
No public API is recorded for Postbank.
What industry is Postbank in?
Postbank's product category is Retail Banking. Its primary akta.pro industry code is FSABAKAK, Savings Banks (Public/State-Owned), with a secondary code of BPAGALAJ, Financial Inclusion & Consumer Empowerment (Banking Access, Credit Building). Its NAICS code is 52218 and its SIC code is 6035.