KCB Bank Kenya has secured a US$100 million financing facility from the European Bank for Reconstruction and Development (EBRD) to expand access to credit for micro, small, and medium enterprises (MSMEs), strengthening support for entrepreneurship, job creation, and sustainable economic growth in Kenya.
This marks the EBRD’s first investment in Kenya’s financial sector, signaling confidence in the country’s private sector and its potential for sustainable growth.
Under the financing framework, 35% of the facility will be allocated to women and youth-led businesses, while 30% will support eligible green investments. The funding is expected to help businesses adopt climate-smart technologies and sustainable business practices while improving access to affordable financing.
Dr. Heike Harmgart, Managing Director for Sub-Saharan Africa at the EBRD, said the investment demonstrates the institution’s confidence in 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 will expand opportunities for women and young entrepreneurs, whose success is critical to Kenya’s long-term prosperity,” Dr. Harmgart stated.
Beyond the funding, the EBRD will also provide technical assistance to KCB Bank to strengthen its green lending capabilities. The support will include specialised training, advisory services, and technical expertise aimed at helping the bank finance more environmentally sustainable projects.
KCB Bank Kenya Managing Director Annastacia Kimtai said the facility will enhance the bank’s ability to extend credit to SMEs, particularly businesses that have traditionally faced challenges accessing finance.
“This facility will strengthen our capacity to extend affordable financing to SMEs, particularly those who 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.
The new facility builds on KCB Bank’s ongoing efforts to support Kenya’s MSME sector. Through its Female-Led & Made Enterprises (FLME) proposition, the bank has disbursed more than KSh156 billion to women entrepreneurs. Its green financing portfolio has surpassed KSh48.8 billion, supporting renewable energy, sustainable agriculture, green buildings, clean transportation, water management, and other climate-smart investments.
As of the end of March 2026, KCB Bank had extended KSh13 billion in new credit to MSMEs, underscoring its continued focus on addressing the financing needs of businesses and driving inclusive economic development across Kenya.
The EBRD facility aligns with KCB Group’s strategic target of allocating 25% of total lending to green projects. The group had already surpassed this target, reaching 25.84% in 2025, up from 21.6% in 2024. KCB Group CEO Paul Russo stated that the bank is intentionally aligning its financing decisions and business strategy to support climate resilience and sustainable enterprise growth as a catalyst for long-term economic prosperity.
The new EBRD facility is expected to widen access to capital for thousands of Kenyan businesses, supporting expansion, innovation, and job creation while encouraging investments that contribute to the country’s sustainability goals.
