A Central Bank of Kenya (CBK) survey of 466 farmers conducted between 21 and 25 September 2026 shows a marked increase in borrowing from Savings and Credit Co‑operatives (Saccos) and commercial banks.

Saccos accounted for 32% of reported farm loans in September, up from 17% in July, representing a 15‑percentage‑point jump, while commercial banks grew from 21% to 29% over the same period.

The share of borrowing from family and friends fell to 29% from 38%, reversing its July lead as the primary source of farm credit.

Informal savings and credit groups also grew, reaching 22% of loans in September compared with 16% in July, while digital loan usage slipped to 13% from 16%.

Overall, the proportion of farmers reporting any agricultural borrowing rose from 34% in July to 45% in September, indicating heightened credit demand as planting seasons progress.

The CBK noted that 91% of borrowers used loans to purchase inputs such as seeds, fertiliser and pesticides, up from 81% in July, and 60% used credit for labour costs, up from 49%.

Average commercial bank lending rates remained stable at 14.40% in September, only slightly lower than the 14.81% recorded in January, though these rates apply across the economy rather than specifically to agriculture.

Saccos, which held KSh1.08 trillion in assets and extended KSh845.11 billion in gross loans by the end of 2024, continue to play a pivotal role in providing working capital to farmers.