KCB Bank Kenya has secured a US$100 million (KSh12.9 billion) financing facility from the European Bank for Reconstruction and Development (EBRD) to expand access to credit for micro, small and medium enterprises (MSMEs), with a strong focus on women, youth and green investments.
The financing agreement, signed in Nairobi, marks EBRD’s first investment in Kenya’s financial sector and is expected to strengthen entrepreneurship, create jobs and support sustainable economic growth.
Under the partnership, 35 per cent of the facility will be dedicated to women and youth-led businesses, while 30 per cent will finance eligible green investments, enabling enterprises to adopt climate-smart technologies and environmentally sustainable business practices.
Speaking during the signing ceremony, EBRD Managing Director for Sub-Saharan Africa, Dr. Heike Harmgart, said the investment underscores the lender’s commitment to unlocking the potential of Kenya’s private sector.
“This investment marks our first investment in Kenya’s financial sector. By partnering with KCB Bank, we are helping to channel much-needed financing to MSMEs, the engines of job creation and economic growth. We are particularly pleased that this facility will contribute to the transition to a greener economy and expand opportunities for women and young entrepreneurs, whose success is critical to Kenya’s long-term prosperity,” said Dr. Harmgart.
Beyond the financing, EBRD will also provide technical assistance to KCB Bank to strengthen its green lending portfolio through specialised training, advisory services and technical expertise aimed at enhancing the bank’s ability to finance environmentally sustainable projects.
KCB Bank Kenya Managing Director Annastacia Kimtai said the facility will enable the bank to increase affordable lending to businesses that have traditionally struggled to access financing.
“This facility will strengthen our capacity to extend affordable financing to SMEs, particularly those that have traditionally faced barriers in accessing credit. We remain committed to sustainable finance by increasing investments in renewable energy, climate-smart agriculture and other green projects that contribute to Kenya’s climate ambitions while creating long-term economic value,” Kimtai said.
She noted that the funding aligns with KCB’s broader strategy of supporting inclusive economic growth while accelerating the country’s transition to a low-carbon economy.
The new facility builds on KCB Bank’s long-standing support for Kenya’s MSME sector. Through its Female-Led & Made Enterprises (FLME) programme, the bank has disbursed more than KSh156 billion to women entrepreneurs, helping thousands of businesses expand and create employment.
KCB has also extended KSh48.8 billion in green financing to support renewable energy projects, climate-smart agriculture and other environmentally sustainable investments.
By the end of March 2026, the bank had advanced KSh13 billion in new credit to micro, small and medium enterprises, reaffirming its commitment to addressing the financing needs of Kenyan businesses.
The latest financing partnership is expected to unlock more capital for underserved entrepreneurs while advancing Kenya’s agenda on financial inclusion, green growth and private sector development.
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