The East African Development Bank (EADB) has launched a program to boost the growth of SMEs in Kenya to the tune of Ksh. 892 million.
The Ksh. 892 million program was launched in partnership with Sidian Bank, HF Bank, Development Bank of Kenya (DBK), and Kenya Women’s Finance Trust Microfinance Bank (KWFT), and will target over 1,300 SMEs nationwide.
SMEs in the agriculture, transport, commerce, and manufacturing sectors are set to benefit from the fund. Over the past 11 years, EADB SME funding program has provided USD 61 billion in affordable credit to thousands of SMEs in Kenya, Uganda, Tanzania, and Rwanda through local financial institutions.
Speaking during the signing ceremony, EADB Director General Vivienne Yeda said, “SMEs are the backbone of the East African economies, and EADB is committed to sustaining and facilitating their growth through financial institutions. Over the last 50 years, the Bank has been instrumental in stimulating the East African economies through its financing strategy, impacting millions of lives in the region.”
CEOs of the partnering financial institutions also lauded the program, underscoring the opportunities it presents for businesses to build wealth and enhance Kenyans’ lives.
Sidian Bank MD Chege Thumbi commented, “Our partnership with EADB has significantly supported our SME customers. With EADB’s unwavering support, we have extended affordable credit to enterprises that have struggled to access finances. We will continue this support, particularly for agriculture-based enterprises, a cornerstone of the Kenyan economy.”
On his part, KWFT Microfinance Bank MD Benson Kitabu noted, “The SME sector offers enormous potential for Kenya’s socio-economic transformation. At KWFT, we empower women in SMEs, enabling them to provide for their families and build generational wealth through funding like this. Affordable credit is a game changer for SMEs.”