Nairobi, July 27 -- Recent research published in PwC's Financial Focus (May 2026) highlights a banking sector across East Africa that is becoming more resilient - but also more constrained.

Banks are operating under rising capital requirements, elevated credit risk and increasingly stringent regulatory expectations.

These reforms are necessary and welcome. They strengthen the foundations of the financial system and support long-term stability.

However, they also introduce a structural challenge that policymakers and industry leaders must now address: how to sustain credit growth in a more capital-intensive environment.

The direction of reform is clear. Regulators are raising minimum capital thresholds and enhancing supervisory oversig...