Where to Save Money and Earn Interest in Kenya

Saving money is essential for financial security and investment. However, simply storing money in a regular account won’t grow your wealth. To earn interest on your savings, consider these top options in Kenya.

1. High-Interest Savings Accounts

Banks in Kenya offer savings accounts with competitive interest rates. Some of the best options include:

  • NCBA Bank Goal Savings Account – Earns up to 6.5% interest annually.
  • KCB Simba Savings Account – Offers flexible saving with competitive interest.
  • Co-op Bank Hekima Savings Account – Suitable for long-term saving goals.
  • Absa Digital Savings Account – A convenient mobile savings option.

2. Fixed Deposit Accounts

Fixed deposits allow you to earn higher interest by locking in your savings for a fixed period. Popular options include:

  • Equity Bank Fixed Deposit – Earns up to 10% interest depending on the tenure.
  • Stanbic Bank Fixed Deposit – Provides competitive returns on fixed-term savings.
  • I&M Bank Fixed Deposit – Offers flexible terms with attractive interest rates.

3. SACCO Savings Accounts

Savings and Credit Cooperative Organizations (SACCOs) offer high-interest savings and dividends. Top SACCOs include:

  • Stima SACCO – Offers savings with annual interest of 8% and above.
  • Mhasibu SACCO – Ideal for professionals with high returns.
  • Safaricom SACCO – Offers competitive savings interest rates.
  • Kenya Police SACCO – Suitable for disciplined forces and general members.

4. Money Market Funds (MMFs)

Money Market Funds provide higher returns than traditional savings accounts. Some top MMFs in Kenya include:

  • CIC Money Market Fund – Offers returns of 9-11% per year.
  • Sanlam Money Market Fund – A stable investment with good interest.
  • Britam Money Market Fund – Provides competitive returns with daily interest.
  • Zimele Money Market Fund – Flexible and suitable for small savers.

5. Government Treasury Bills and Bonds

The Kenyan government offers Treasury Bills and Bonds through the Central Bank of Kenya (CBK), providing secure and attractive returns.

  • Treasury Bills – Short-term investment with returns ranging from 8-11%.
  • Treasury Bonds – Long-term investment with interest rates of 10-14%.

6. Digital Savings Platforms

Mobile-based savings platforms offer convenience and good returns. Examples include:

  • M-Shwari (Safaricom & NCBA) – Interest rates up to 6.3% per year.
  • KCB M-Pesa – Offers savings with an interest rate of up to 6%.
  • EazzySave (Equity Bank) – Digital savings with competitive interest.

7. Cooperative Savings Plans

Cooperatives offer structured savings plans with interest and loan benefits.

  • Harambee SACCO – Provides savings products with high interest.
  • Waumini SACCO – Ideal for church members and professionals.
  • Kenya Bankers SACCO – Designed for banking professionals and employees.

8. Chama (Investment Groups) Savings

Joining a Chama (informal savings group) allows collective saving and investment, with members earning interest from pooled resources. Well-managed Chamas invest in:

  • Real estate and land
  • Stocks and bonds
  • Money market funds

Final Thoughts

Choosing the right place to save money and earn interest in Kenya depends on your financial goals. Whether it’s a high-interest savings account, SACCO, money market fund, or government bonds, you can grow your money efficiently. Start saving today and watch your money work for you!