Nigeria’s Zenith Bank Plc has completed the acquisition of 100 percent of Paramount Bank Kenya Limited, formally entering the East African market and becoming the fourth Nigerian lender to establish a banking presence in Kenya.
The bank announced the completion of the transaction on April 7, 2026, confirming that all requisite regulatory approvals had been secured in both Nigeria and Kenya. The deal was first disclosed in November 2025, when Zenith Bank said it was pursuing the necessary clearances.
The Central Bank of Kenya approved the transaction on 9 March 2026, under the Banking Act, with further approval granted by the National Treasury on 16 March. Kenya’s Competition Authority of Kenya (CAK) had earlier cleared the deal in January, finding it unlikely to substantially reduce competition given that Zenith had no prior operations in the country.
After the merger, Paramount’s market share remains unchanged, with rival banks continuing to control over 99.8 percent of the market. The CAK, however, imposed a condition requiring Zenith to retain all 78 of Paramount Bank’s employees for at least 12 months after completion.
Zenith Bank, Nigeria’s second-largest lender by assets, said the acquisition provides a strategic entry point into East Africa and strengthens its position across sub-Saharan Africa. The bank said it plans to expand corporate banking, retail services, small and medium enterprise lending and trade finance in Kenya, with customers set to experience continuity in the near term and potential product enhancements over time.
With this transaction, Zenith becomes the fourth Nigerian bank present in Kenya, joining United Bank for Africa (UBA), Guaranty Trust Bank (GTBank), and Access Bank, all of which are already established in the market. Access Bank entered Kenya through its acquisition of Transnational Bank Plc in 2020, rebranding the lender as Access Bank Kenya as part of its pan-African push.
The expansion of Nigerian lenders into East Africa reflects growing recognition of Kenya’s role as a regional financial hub, driven by trade growth, a rising middle class, and increasing demand for digital financial services. Analysts say the Nigerian banks bring significant balance sheet strength, established corporate banking expertise, and technology infrastructure that could intensify competition with local players and other foreign institutions operating in the market.
