Kenya: KCB Gets Sh12.9bn From EU Bank for SME Lending

What the report says

AllAfrica, republishing a Capital FM report from Nairobi dated 29 July 2026, says KCB Bank Kenya has obtained Sh12.9 billion from the European Bank for Reconstruction and Development to increase lending to micro, small and medium enterprises. The financing is intended to prioritize MSMEs run by women and young people, as well as businesses pursuing environmentally focused investments.

According to the report, 35 percent of the facility is earmarked for women- and youth-led enterprises, while 30 percent will go toward qualifying green investments. EBRD is also set to support KCB with technical assistance, including training, advisory input and expertise aimed at improving the bank’s capacity to assess and deliver green finance.

The report identifies the deal as EBRD’s first investment in Kenya’s financial sector. EBRD Sub-Saharan Africa Managing Director Dr. Heike Harmgart said the partnership is meant to direct more capital to MSMEs, which she described as important to jobs and growth, while also supporting greener economic activity and wider opportunities for women and young entrepreneurs. KCB Bank Kenya Managing Director Annastacia Kimtai said the facility would help the lender reach SMEs that have faced obstacles accessing credit and would support projects such as renewable energy and climate-smart agriculture.

Capital FM also reported KCB’s figures showing more than Sh156 billion previously disbursed to women entrepreneurs through its Female-Led & Made Enterprises proposition, and Sh48.8 billion in green financing for environmentally sustainable projects. The development matters because access to affordable credit remains a major constraint for many smaller businesses, while banks are under increasing pressure to align lending with climate and inclusion goals.