This agreement underscores the Kenyan bank's commitment to develop entrepreneurship, create jobs, and ensure sustainable economic development. According to the terms, 35% of the funds will be allocated to companies headed by women and youth, and 30% — for environmental investments, which will allow businesses to introduce climate-optimized technologies and sustainable practices.
At the signing ceremony, Heike Harmgart, EBRD Managing Director for Sub-Saharan Africa, noted that this partnership reflects the EBRD's commitment to mobilize the potential of the Kenyan private sector. «This is the first time we have invested in the financial sector of this country. Cooperation with KCB Bank helps to attract the necessary funds to the MSME sector, which is a catalyst for employment and economic growth. We are pleased that this financial instrument will support the transition to a green economy and expand opportunities for women entrepreneurs and young businessmen, which is crucial for the long-term well-being of Kenya», she said.
In addition to financing, the EBRD will provide KCB Bank with methodological support in the field of environmental lending through educational programs, consulting and experts, which will strengthen the bank's potential to support sustainable investments.
KCB Bank Kenya CEO Annastacia Kimtai commented: «This agreement will strengthen our ability to provide affordable financing to SMEs, especially those who have had difficulty obtaining loans. We continue to pursue sustainable financing by investing in renewable energy, climate-adapted agriculture, and other environmental initiatives that contribute to the achievement of the country's climate goals and create long-term economic value».
The support is based on the successful work of KCB Bank with small and medium-sized businesses in Kenya. The bank has already allocated more than 156 billion KSh to women entrepreneurs as part of the Female-Led & Made Enterprises (FLME) initiative and secured environmentally sustainable projects in the field of renewable energy and climate-optimized investments with green loans worth more than 8.8 billion KSh.
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