Bank of Africa (BoA) Kenya plans to digitise most of its services in a move that will see it retain only 30 branches of its 42 outlets across the country.
Nairobi County, which has the most branches, will now have 17, down from the current 25.
Thirteen other branches will be spread throughout the country.
Consequently, the bank said on Friday that there will be staff layoffs although it was not immediately clear how many would be affected.
BoA becomes the latest lender to close the traditional brick-and-mortar outlets to focus on pushing services through digital channels.
Equity Bank announced last October that it was freezing branch expansion to focus on online platforms.
Diamond Trust Bank and Ecobank have also made similar moves, underlining the impact technology is having in bringing an end to the over-the-counter interactions between lenders and their customers.
New channels such as mobile banking, agents and online banking have also made basic functions such as withdrawals, deposits, payment of bills, loan applications and fund transfers easier for customers.
Additional reporting by Lynette Mukami.