NCBA Group has sealed a substantial agreement with Proparco, securing a $50 million loan aimed at bolstering small and medium-sized enterprises (SMEs) and advancing green financing initiatives. The loan, equivalent to approximately Sh6.73 billion, was formalized during a signing ceremony held at Nairobi’s Serena Hotel on March 18, 2024.
Under the terms of the agreement, 60 percent of the funds will be allocated to support SMEs, providing crucial financial support to fuel their growth and contribute to economic development. The remaining 40 percent will be directed towards businesses committed to combating climate change risks, aligning with NCBA’s sustainability agenda.
John Gachora, CEO of NCBA Group, expressed optimism about the collaboration, emphasizing its strategic importance in delivering value to stakeholders. He underscored NCBA’s dedication to mobilizing resources for green financing initiatives and expanding lending to underserved segments, including women and youth entrepreneurs.
Audrey Maignan, East Africa head of Proparco, echoed these sentiments, highlighting the potential impact of the funding on SMEs and environmental initiatives. The partnership signifies a shared commitment towards driving positive change within the Kenyan business landscape, reflecting both institutions’ focus on sustainable growth and development.
photo source: Google
By: Montel Kamau
Serrari Financial Analyst
20th March, 2024
