Faulu Microfinance is licensed in Kenya and is supervised by the Central Bank.
Faulu Microfinance Bank operates as a private company registered in Kenya, fully compliant with the country’s company laws. The bank falls under the regulatory umbrella of the Central Bank of Kenya and is a recognised member of the Kenya Bankers’ Association and the Association of Microfinance Institutions.
Faulu is also connected to a bigger financial family, being part of Old Mutual Limited (OML). It became a subsidiary of the Old Mutual East Africa Group after a strategic move in April 2014 when Old Mutual pumped capital into the bank, acquiring a 67% ownership. This investment allowed Faulu to boost its capital reserves and meet regulatory benchmarks while expanding Old Mutual’s footprint via Faulu’s nationwide outlets.
Beyond basic banking, Faulu offers a variety of services, from personal and group banking to insurance and business finance. Its key focus areas include support for small businesses (MSMEs), savings products, investment solutions, and bancassurance.
Strong Bancassurance Growth Despite Losses
In its financial performance for the year ending December 2024, Faulu Bank, under the UAP Old Mutual Group, recorded a financial setback. However, it wasn’t all bleak. The bancassurance side of the business showed strong improvement, with general insurance bringing in Ksh 155 million—a significant jump from Ksh 99 million the previous year. That’s a 41% rise in insurance-related income.
The leadership of the bank is now under Julius Ouma, who stepped in as CEO in October 2024. Under his leadership, the bank continues to serve communities through diverse financial products and services tailored for ordinary Kenyans and business owners alike.
Faulu Loan Products and National Presence
Faulu Bank offers a broad loan portfolio for different financial needs:
Imara Loan – Targets salaried workers from institutions without an existing agreement with Faulu.
Okoa Mteja Loan – A short-term digital loan for salary account holders at Faulu.
Biashara SME Loan – Provides funding for SMEs to grow or manage operations.
Faulu Micro Secured Loan – Ideal for small businesses needing flexible funding, including LPOs and emergencies.
Asset Financing – Helps customers acquire machines, cars, or tools for work or personal use.
Chama Loan – Designed for group savings and investment clubs.
Corporate Check-Off Loan – Employees of partnered firms can borrow, repaying through payroll.
Group Extra Loan – Enables community groups to finance collective projects.
Faulu’s physical presence is extensive, with branches in key urban areas like Nairobi (Kimathi Street, Kayole, Gikomba, Kawangware), Mombasa (Moi Avenue, Changamwe), and Kisumu, as well as smaller towns such as Bomet, Maua, Litein, and Kitale. From the coast to western Kenya, the bank remains accessible across more than 60 towns.
Faulu Microfinance Bank continues to offer crucial services to Kenyans, especially in underserved areas, despite the competitive banking environment and occasional financial hurdles.
