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The expanding tradition of saving in Kenya is seen in the rise in the number of Kenyans with Sh100,000 in their bank accounts. Five trillion shillings have been hidden by customers at various Kenyan financial institutions.

According to information compiled by the Central Bank of Kenya, more bank accounts in 2022 than in 2021 succeeded in acquiring a notable quantity of more than Sh100,000.

"In 2022, banks reported 1.871 million accounts with more than Sh100,000, a 4.9% increase from 1.783 million in 2021," according to the Bank Supervision Annual Report.

This gain is seen as a harbinger of better times ahead for people and businesses in an election year marked by more expenditure.

The information also shows that as savers seek protection in the wake of the recent bankruptcy proceedings of multiple banking organisations, high-quality portfolios have been shifting from smaller banks to bigger ones.

According to the data, the number of savings accounts with balances of more than Sh100,000 increased by 5.1%, while it decreased in microfinance banks by 3.8%.

The findings show that 24,257 accounts with more than Sh100,000 were in microfinance banks, while the majority, or 1.847 million, were in big commercial banks.

The expanding culture of saving in Kenya is seen in the rise in the number of Kenyans having Sh100,000 in their bank accounts.

More people are becoming knowledgeable about the value of saving money for both short-term and long-term objectives as financial literacy efforts and digital banking alternatives gain acceptance.

Banks' holdings of customer deposits rose from Sh4.5 trillion in December 2021 to Sh5 trillion in December 2022, a 12.3% rise.

Deposit mobilisation via agency banking and mobile phone channels was the cause of the increase in deposits.

The study also shows that a rise in advances as well as loans helped the banking sector's overall net assets expand by 10%, from Sh6 trillion in December 2021 to Sh6.6 trillion in December 2022.

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