Elijah Ntongai, a journalist at TUKO.co.ke, has more than four years of financial, business, and technology research and reporting expertise, providing insights into Kenyan and global trends.

Bank Al Habib Limited (BAHL), a Pakistan-based financial institution, has officially announced it will shut down its representative office in Kenya, effective May 15, 2025.

The closure follows a strategic global restructuring plan by the bank and approval of the closure by the Central Bank of Kenya (CBK) on April 30, 2025.

In a public notice dated May 5, 2025, the bank stated that the decision aligns with a broader strategy by its board of directors to consolidate international operations and improve overall efficiency.

"BANK AL HABIB LIMITED (“BAHL”) hereby notifies its customers, the general public, stakeholders, and all interested parties that BAHL shall close down its Representative Office in Kenya with effect from May 15, 2025. This follows approval from the Central Bank of Kenya (CBK) on April 30, 2025, in line with the Banking Act (Cap. 488, Laws of Kenya) and Prudential Guidelines issued thereunder," read the notice seen by

The BAHL Representative Office, which was authorised by CBK in April 2018, has been operational for seven years.

During its time in Kenya, it functioned in compliance with local legal and regulatory requirements, serving as a liaison and facilitating banking relationships without engaging in direct banking services.

"Closure of the representative office follows a strategic review undertaken by the Board of Directors of BAHL and is part of a broader global restructuring initiative aimed at consolidating international operations and improving overall operational efficiency. Accordingly, BAHL shall terminate its presence in Kenya and cease all its operations effective May 15, 2025," the bank further added.

While the bank did not disclose the number of staff affected or the future of its partnerships in the country, it confirmed that all operations in Kenya will cease by mid-May.

Stakeholders and clients seeking further clarification were advised to reach out to BAHL’s legal representatives at Oraro & Company Advocates.

The bank expressed its gratitude to its customers, partners, and Kenyan stakeholders for their continued support during its tenure in the country.

In other news, over the past six months, Kenya’s job market has been hit hard, with thousands of workers losing their jobs due to inflation, high interest rates, hefty taxes, and a generally tough economic environment.

Major layoffs have occurred across sectors, with companies such as Base Titanium announcing the exit of 1,600 workers, the Postal Corporation of Kenya planning to retrench 600 staff, Radio Africa Group laying off 27 employees, Tala letting go of 28 customer service workers, and Twiga Foods terminating 250 jobs.

Other affected firms include CIC Insurance, which cut 75 positions, and Unga Group, which laid off 50 employees.

A report by the Federation of Kenya Employers attributed the wave of redundancies to the impact of current government tax policies, warning that the labour market remains fragile and continues to see daily notifications of job cuts.

Source: TUKO.co.ke