29 January 2026
Top NSE Dividend Stocks Kenya 2026: Highest Yields Ranked — Up to 14.8%
Looking for the best dividend stocks in Kenya for 2026? This guide ranks every major NSE dividend stock by current yield, using verified figures from company announcements and CDSC records — not estimates.
The NSE dividend landscape has shifted significantly in 2026. Banking stocks now dominate the highest-yield rankings following record profit announcements. Standard Chartered Kenya leads at approximately 14.8% yield. BAT Kenya and Stanbic Holdings follow. The stocks most Kenyans know best — Safaricom, EABL, Equity, KCB — sit further down the yield table but offer better growth prospects and dividend sustainability.
This guide shows you the complete picture: who pays the most, whether the dividend is sustainable, and which stocks make sense for your situation.
One important tax clarification before we begin: Dividend withholding tax for Kenyan resident individuals is 5% — not 15% as many articles incorrectly state. 15% applies to non-residents. All net dividend calculations in this article use the correct 5% resident rate.
NSE Dividend Yield Rankings 2026 — Complete Table
Updated March 2026 using latest confirmed dividend announcements and current share prices.
| Rank | Stock | Ticker | Annual DPS | Share Price | Yield | Payout Ratio | Best For |
|---|---|---|---|---|---|---|---|
| 1 | Standard Chartered Kenya | SCBK | KES 45.00 | ~KES 350 | ~14.8% | ~96% | Maximum income |
| 2 | BAT Kenya | BAT | KES 60.00 | ~KES 480 | ~12.5% | ~75% | High income, stable |
| 3 | Stanbic Holdings | SBIC | KES 22.35 | ~KES 195 | ~11.5% | ~64% | High income + growth |
| 4 | Co-operative Bank | COOP | KES 1.50 | ~KES 15 | ~10.4% | ~45% | Stable income |
| 5 | KCB Group | KCB | KES 7.00 | ~KES 76 | ~9.2% | ~33% | Income + growth |
| 6 | EABL | EABL | KES 4.00 interim* | ~KES 250 | ~8%+ | ~65% | Stable income |
| 7 | Equity Group | EQTY | KES 4.25 | ~KES 50 | ~8.5% | ~40% | Dividend growth |
| 8 | Safaricom | SCOM | KES 0.85 interim* | ~KES 17.50 | ~7.8% | ~80% | Beginners, liquidity |
| 9 | NCBA Group | NCBA | KES 3.25 | ~KES 42 | ~7.7% | ~45% | Balanced |
| 10 | Absa Bank Kenya | ABSA | KES 1.85 | ~KES 34 | ~5.4% | ~40% | Growth + income |
*EABL and Safaricom interim dividends only — final dividends not yet announced. Full-year yield will be higher once final dividends are declared.
Yields are approximate and fluctuate daily with share price movements. Verify current prices at nse.co.ke before investing. Last updated March 17, 2026.
Understanding Dividend Yields on the NSE — What the Numbers Mean
Before investing purely based on yield, there are three things every Kenyan investor must understand.
A very high yield is not always a good sign. When a stock yields 14–15%, it often means one of two things: the company is genuinely generous with shareholders, or the share price has fallen significantly relative to the dividend. Standard Chartered Kenya’s 14.8% yield partly reflects a share price that has not grown as fast as its dividend. Always check whether the yield is high because dividends are growing or because the share price is falling.
Payout ratio tells you whether the dividend is safe. A company paying 96% of its profits as dividends — like Standard Chartered Kenya — has almost no cushion if profits dip in a difficult year. A company paying 33% — like KCB — can sustain its dividend even if profits fall by half. Higher yield often means higher payout ratio, which means higher risk of a cut.
Dividend withholding tax in Kenya is 5% for residents. Your net dividend = gross dividend minus 5%. The tax is deducted automatically by the company before payment. You do not need to file anything with KRA — it is a final tax.
Stock 1: Standard Chartered Kenya (SCBK) — ~14.8% Yield
The highest dividend yield on the NSE
| Metric | Value |
|---|---|
| Annual dividend per share | KES 45.00 (KES 8.00 interim + KES 37.00 final — verify 2026 announcement) |
| Current share price | ~KES 350 |
| Dividend yield | ~14.8% |
| Payout ratio | ~96% |
| Payment structure | Interim (Sept) + Final (May) |
| Track record | Consistent, international bank backing |
Standard Chartered Kenya is a subsidiary of Standard Chartered PLC, one of the world’s largest international banking groups with over 110 years of presence in Kenya. It focuses on corporate, commercial, and wealth management banking rather than mass-market retail — which keeps its cost base lean and margins high.
The honest picture on yield sustainability: A 96% payout ratio is very high. Standard Chartered Kenya pays out nearly all its profit as dividends. This is generous but fragile — any significant decline in profit could force a dividend cut. The FY2025 results are due for announcement on March 19, 2026. Check the results before making any investment decision based on the dividend.
Investment example with correct 5% tax:
- 100 shares × KES 45.00 = KES 4,500 gross
- Less 5% withholding tax = KES 225
- Net received: KES 4,275
Best for: Income investors who want maximum current yield and are comfortable monitoring dividend sustainability closely.
Stock 2: BAT Kenya (BAT) — ~12.5% Yield
Consistent high yield from Kenya’s tobacco leader
| Metric | Value |
|---|---|
| Annual dividend per share | KES 60.00 proposed for FY2024 |
| Current share price | ~KES 480 |
| Dividend yield | ~12.5% |
| Payout ratio | ~75% |
| Payment structure | Interim + Final |
| Track record | 30+ years of consistent payments |
BAT Kenya is a subsidiary of British American Tobacco PLC and dominates Kenya’s cigarette market with brands including Sportsman, Embassy, Pall Mall, and Dunhill. It maintains a high dividend payout policy, sometimes distributing close to or above its net income in any given year through use of retained earnings and cash reserves.
The honest picture: BAT Kenya’s business faces long-term structural headwinds — health awareness, regulatory pressure, and younger generations not taking up smoking. These are real risks over a 10+ year horizon. Over a 3–5 year horizon, BAT Kenya remains a highly cash-generative business with strong pricing power and brand loyalty. The 12.5% yield is genuine, not a distress signal.
Investment example with correct 5% tax:
- 100 shares × KES 60.00 = KES 6,000 gross
- Less 5% withholding tax = KES 300
- Net received: KES 5,700
Best for: Income investors comfortable with tobacco sector exposure who want a high, reliable yield over a medium-term horizon.
Stock 3: Stanbic Holdings (SBIC) — ~11.5% Yield
Record dividend from Kenya’s most shareholder-friendly bank
| Metric | Value |
|---|---|
| Annual dividend per share | KES 22.35 (KES 3.80 interim + KES 18.55 final) |
| Current share price | ~KES 195 |
| Dividend yield | ~11.5% |
| Payout ratio | ~64% |
| Payment structure | Interim (Sept) + Final (June) |
| Track record | Four consecutive years of increases |
Stanbic Holdings is a subsidiary of Standard Bank Group, Africa’s largest bank by assets. It has raised its dividend per share for four consecutive years, delivering KES 22.35 for FY2025 — more than double the KES 9.00 paid in 2022. The board has formally disclosed a dividend payout policy of 60–65% of net earnings, giving investors clear visibility on future distributions.
At 64% payout ratio, Stanbic offers a significantly more sustainable high yield than Standard Chartered’s 96%. This is the best combination of high yield and dividend safety in the top tier of the NSE rankings.
Investment example with correct 5% tax:
- 100 shares × KES 22.35 = KES 2,235 gross
- Less 5% withholding tax = KES 112
- Net received: KES 2,123
Best for: Income investors who want the highest sustainable yield — Stanbic’s 64% payout ratio makes its dividend far more defensible than SCBK’s 96%.
Stock 4: Co-operative Bank Kenya (COOP) — ~10.4% Yield
The SACCO-backed dividend stock millions of Kenyans overlook
| Metric | Value |
|---|---|
| Annual dividend per share | KES 1.50 |
| Current share price | ~KES 15 |
| Dividend yield | ~10.4% |
| Payout ratio | ~45% |
| Payment structure | Annual (May) |
| Track record | Consistent, cooperative movement backing |
Co-operative Bank is majority-owned by the cooperative movement — over 15 million SACCO members across Kenya — giving it an exceptionally stable deposit base. The 45% payout ratio means the bank retains more than half its profits, making the dividend highly sustainable even in difficult years.
At KES 15 per share with a KES 1.50 dividend, Co-op is one of the most accessible high-yield stocks on the NSE. An investment of KES 15,000 buys 1,000 shares generating KES 1,425 net annually after the 5% tax.
Investment example with correct 5% tax:
- 1,000 shares × KES 1.50 = KES 1,500 gross
- Less 5% withholding tax = KES 75
- Net received: KES 1,425
Best for: Conservative income investors and SACCO members who want a direct link between their cooperative values and their investment portfolio.
Stock 5: KCB Group (KCB) — ~9.2% Yield
Record KES 7.00 dividend from Kenya’s largest bank
| Metric | Value |
|---|---|
| Annual dividend per share | KES 7.00 total (KES 4.00 interim paid Nov 2025 + KES 3.00 final proposed) |
| Current share price | ~KES 76 |
| Dividend yield | ~9.2% |
| Payout ratio | ~33% |
| Final dividend payment | ~22 May 2026 |
| Book close | 2 April 2026 |
KCB declared its largest ever dividend following a record KES 68.4 billion net profit for FY2025. At 33% payout ratio, this is the most conservatively structured high yield on the NSE — KCB could cut profits in half and still afford to pay the dividend. The KES 3.00 final dividend is subject to AGM approval. Book close is April 2, 2026 — buy before March 31 to qualify.
See our complete KCB dividend 2026 guide for full payment dates, earnings tables, and investment analysis.
Investment example with correct 5% tax:
- 1,000 shares × KES 7.00 = KES 7,000 gross
- Less 5% withholding tax = KES 350
- Net received: KES 6,650
Best for: Investors who want a high yield backed by genuinely sustainable earnings — KCB’s 33% payout ratio is the most conservative of any high-yield stock on this list.
Stock 6: EABL — ~8%+ Yield
40 years without missing a dividend
| Metric | Value |
|---|---|
| Interim dividend per share | KES 4.00 (paid April 2026) |
| Current share price | ~KES 250 |
| Interim yield alone | ~6.4% |
| Full-year yield (estimated) | ~8%+ once final declared |
| Payout ratio | ~65% |
| Track record | 40+ years, never missed |
EABL raised its interim dividend by 60% to KES 4.00 per share following a 37.6% increase in half-year profit to KES 11.6 billion. The full-year dividend will be announced with annual results — expect a final dividend of approximately KES 6–8 per share based on historical payout ratios, taking the full-year total to approximately KES 10–12 per share.
EABL’s business — Tusker, Guinness, Smirnoff, Kenya Cane — is one of the most resilient on the NSE. Beer and spirits consumption is remarkably inelastic. The 40-year unbroken dividend record is unique on the Kenyan market.
Note on Diageo stake sale: Diageo is selling part of its EABL stake to Japan’s Asahi Group. This ownership transition does not affect EABL’s underlying business or dividend policy but has caused share price volatility. The share price is currently at KES 250, down from KES 263 at end-2025.
Investment example with correct 5% tax (interim only):
- 200 shares × KES 4.00 = KES 800 gross
- Less 5% withholding tax = KES 40
- Net interim received: KES 760
Best for: Conservative income investors who prioritise dividend reliability above all else. The 40-year track record is EABL’s defining advantage.
Stock 7: Equity Group (EQTY) — ~8.5% Yield
The fastest-growing dividend on the NSE
| Metric | Value |
|---|---|
| Annual dividend per share | KES 4.25 (FY2024) |
| Current share price | ~KES 50 |
| Dividend yield | ~8.5% |
| Payout ratio | ~40% |
| 5-year dividend growth | ~10% annually |
| Track record | 15+ years, consistent growth |
Equity Group has grown its dividend from KES 2.50 in 2021 to KES 4.25 in 2024 — a 70% increase in four years. At 40% payout ratio, there is significant room for further increases. FY2025 results are expected in April 2026 — with strong regional performance across Kenya, Uganda, DRC, and Rwanda, another dividend increase is expected.
Investment example with correct 5% tax:
- 500 shares × KES 4.25 = KES 2,125 gross
- Less 5% withholding tax = KES 106
- Net received: KES 2,019
Best for: Investors with a 5–10 year horizon who want a dividend that grows significantly over time. Equity’s 10% annual dividend growth beats inflation and compresses over time into a very high yield on original investment.
Stock 8: Safaricom (SCOM) — ~7.8% Yield
Kenya’s most liquid, most accessible dividend stock
| Metric | Value |
|---|---|
| Interim dividend per share | KES 0.85 (paid March 2026) |
| Current share price | ~KES 17.50 |
| Full-year estimated yield | ~7.8% |
| Payout ratio | ~80% |
| Track record | 20+ years, never missed |
Safaricom raised its interim dividend following a 52.1% net profit increase to KES 42.7 billion for the half year ended September 2025, driven by M-Pesa growth. The full-year dividend will be announced with results in May 2026. Based on the 80% payout policy and strong half-year profit, the full-year dividend is expected to be meaningfully higher than last year’s KES 1.20 total.
Safaricom’s defining advantage is liquidity — it trades millions of shares daily, making it the easiest NSE stock to enter and exit without moving the price. At KES 17.50 per share it is also the most accessible for small investors.
Investment example with correct 5% tax (interim only):
- 1,000 shares × KES 0.85 = KES 850 gross
- Less 5% withholding tax = KES 42.50
- Net interim received: KES 807.50
Best for: First-time dividend investors, anyone who needs liquidity, and investors who want dividend income combined with capital appreciation potential from M-Pesa’s continued growth.
How to Build a Dividend Portfolio — Three Options
Conservative Income Portfolio (KES 100,000)
Goal: Maximum sustainable yield
| Stock | Allocation | Amount | Annual Net Dividend |
|---|---|---|---|
| Stanbic | 30% | KES 30,000 | ~KES 3,280 |
| COOP | 25% | KES 25,000 | ~KES 2,375 |
| KCB | 25% | KES 25,000 | ~KES 2,162 |
| Safaricom | 20% | KES 20,000 | ~KES 1,330 |
| Total | KES 100,000 | ~KES 9,147/year |
Effective yield: ~9.1% net after 5% tax. Monthly passive income: ~KES 762.
Balanced Portfolio (KES 200,000)
Goal: Income + dividend growth
| Stock | Allocation | Amount | Annual Net Dividend |
|---|---|---|---|
| KCB | 25% | KES 50,000 | ~KES 4,375 |
| Equity | 25% | KES 50,000 | ~KES 4,038 |
| EABL | 25% | KES 50,000 | ~KES 3,800 |
| Safaricom | 15% | KES 30,000 | ~KES 1,995 |
| COOP | 10% | KES 20,000 | ~KES 1,900 |
| Total | KES 200,000 | ~KES 16,108/year |
Effective yield: ~8.1% net. Monthly passive income: ~KES 1,342.
High-Income Portfolio (KES 200,000)
Goal: Maximum yield — for investors who have researched sustainability
| Stock | Allocation | Amount | Annual Net Dividend |
|---|---|---|---|
| Stanbic | 35% | KES 70,000 | ~KES 8,016 |
| BAT Kenya | 25% | KES 50,000 | ~KES 5,938 |
| KCB | 25% | KES 50,000 | ~KES 4,375 |
| COOP | 15% | KES 30,000 | ~KES 2,850 |
| Total | KES 200,000 | ~KES 21,179/year |
Effective yield: ~10.6% net. Monthly passive income: ~KES 1,765. Note: Higher yield portfolios carry higher payout ratio risk — monitor results quarterly.
Dividend Tax in Kenya — The Correct Rate
Many articles on NSE dividends incorrectly state 15% withholding tax. The correct rate for Kenyan resident individuals is 5%.
- Kenyan resident individuals: 5% withholding tax (final tax — no further filing required)
- Non-resident investors: 15% withholding tax
The tax is deducted automatically by the company before your dividend is paid. You receive the net amount directly. You do not need to declare dividend income in your annual KRA return — the 5% withholding tax is a final tax on this income category.
Corrected net yield examples:
| Gross Yield | After 5% Tax (Resident) |
|---|---|
| 14.8% (SCBK) | 14.06% net |
| 11.5% (Stanbic) | 10.93% net |
| 9.2% (KCB) | 8.74% net |
| 8.5% (Equity) | 8.08% net |
| 7.8% (Safaricom) | 7.41% net |
When Will You Receive Your Dividends? — 2026 Calendar
| Stock | Expected Book Close | Expected Payment | Est. Final DPS |
|---|---|---|---|
| KCB Group | 2 April 2026 | ~22 May 2026 | KES 3.00 final |
| Equity Group | ~April 2026 | ~May 2026 | TBA with results |
| Standard Chartered | ~April 2026 | ~May 2026 | TBA — results Mar 19 |
| Stanbic Holdings | ~May 2026 | ~June 2026 | KES 18.55 final |
| Co-operative Bank | ~May 2026 | ~June 2026 | TBA with results |
| EABL | ~August 2026 | ~Oct 2026 | TBA with full-year results |
| BAT Kenya | ~August 2026 | ~Sept 2026 | KES 60.00 (FY2024 pending AGM) |
| Safaricom | ~July 2026 | ~Aug 2026 | TBA with May results |
Critical rule: You must own shares before the ex-dividend date — typically 2–3 business days before book close — to qualify. Shares take T+3 business days to settle after purchase on the NSE. Buy at least one week before book close to be safe.
How to Start Buying NSE Dividend Stocks Today
You need two things: a CDS account and a licensed stockbroker.
Step 1 — Open a CDS account Contact any NSE-licensed stockbroker — Faida Investment Bank, Genghis Capital, Sterling Capital, Standard Investment Bank — or use the Hisa app for a fully digital experience. You need your National ID, KRA PIN, and bank account details. Opening takes 3–5 business days and is free.
Step 2 — Fund your account Transfer funds via M-Pesa Paybill or bank transfer to your broker. Most brokers now accept M-Pesa deposits. Minimum practical investment is KES 5,000–10,000 depending on the share price of your chosen stock.
Step 3 — Place your buy order During NSE trading hours (9:30am–3:00pm Monday to Friday), place a buy order through your broker’s app or by calling them. Shares are delivered to your CDS account within T+3 business days.
Step 4 — Register your bank account for dividend payments Ensure your CDS account has a valid Kenyan bank account registered. This is where your dividend will be deposited automatically. If you have changed banks, update your details with your broker before any upcoming book close date.
For a complete step-by-step guide to opening a CDS account, see our CDS Account Kenya Guide.
FAQ
What is the highest dividend yield on the NSE in 2026? Standard Chartered Kenya leads at approximately 14.8% yield based on KES 45.00 annual dividend and a share price of approximately KES 350. However, its 96% payout ratio means the dividend is less sustainable than lower-yielding stocks like KCB (33% payout) or Stanbic (64% payout).
Is withholding tax on dividends in Kenya 5% or 15%? 5% for Kenyan resident individuals. 15% for non-residents. The tax is deducted automatically — you do not need to file separately.
Which NSE dividend stock is safest? By payout ratio sustainability: KCB (33%), Co-operative Bank (45%), and Equity (40%) are the most conservatively structured. By track record: EABL at 40+ consecutive years without missing a dividend is unmatched on the NSE.
Do I need a lot of money to start dividend investing? No. Safaricom at approximately KES 17.50 per share and Co-operative Bank at approximately KES 15 per share mean you can start with KES 1,750–5,000 for a meaningful initial position. The NSE minimum board lot is 100 shares.
When do most NSE companies pay dividends? Most Kenyan companies pay once per year between April and August. Some pay twice — an interim dividend mid-year and a final dividend the following year. KCB, Stanbic, Standard Chartered, EABL, Safaricom, and BAT all pay two dividends per year.
Which is better — dividend stocks or Treasury Bills in 2026? Treasury Bills currently yield approximately 13–15% with zero default risk. Top NSE dividend stocks yield 8–15% with potential capital appreciation. For pure income with capital protection, Treasury Bills win. For long-term wealth building where dividends grow over time, dividend stocks can outperform. The ideal strategy combines both — see our Treasury Bills Kenya 2026 guide for comparison.
All dividend figures are based on the most recently confirmed company announcements as at March 17, 2026. Share prices fluctuate daily — verify current prices at nse.co.ke or mystocks.co.ke before investing. This article is for educational purposes only and does not constitute financial advice. Always verify dividend announcements directly with the company or through the NSE and CDSC websites before making investment decisions.
Last verified: March 17, 2026. Next update: After April 2026 results season.
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