Absa Bank Kenya PLC has officially rolled out its custody services business, marking a significant expansion of its corporate and investment banking offering in the region.
The new service, unveiled during a stakeholder engagement forum in Nairobi, is set to offer safekeeping and servicing of assets, settlement for local and cross-border investments, compliance and statutory reporting, corporate actions tracking, portfolio reconciliations, and timely client reporting.
Targeted at institutional investors, the custody services will serve fund managers, pension fund trustees, insurance companies, Saccos, Shariah-compliant investors, and other institutional clients.Speaking at the launch, Absa’s Corporate and Investment Banking Managing Executive, James Agin, said custody services are evolving into a key strategic offering.
“Custody is no longer a back-office function it’s now a vital bridge connecting investors to reliable and efficient financial services,” he said.
Agin added that since the business went live, the bank has recorded strong and encouraging momentum, including growth in both revenue and assets under custody.
Absa Bank is also leveraging its Euroclear licence to give clients access to offshore investment opportunities such as Eurobonds, international securities, and commodities including the Absa-sponsored Gold ETF, the only listed commodity on the Nairobi Securities Exchange.
In line with Kenya’s evolving regulatory environment, the bank is preparing to support virtual asset custody by aligning with the draft Virtual Assets Policy and the proposed Virtual Assets Service Providers (VASP) Bill.
Agin noted that the bank is investing heavily in technology to deliver seamless and efficient custody services and is partnering with global custodians like BNY Mellon, State Street, and Societe Generale to provide clients access to international markets.
The bank is also working with regulators including the Capital Markets Authority, Retirement Benefits Authority, and Nairobi Securities Exchange to ensure regulatory compliance and alignment with global best practices.
With custody services now active in Kenya, South Africa, and Mauritius, Absa plans to extend the offering to Uganda and Ghana later this year, reinforcing its ambition to become a leading pan-African investment partner.
