The European Investment Bank’s development arm EIB Global and Kenya’s Family Bank are mobilising EUR100 million (US$110 million) in financing for businesses, with a focus on women-owned/led enterprises and youth entrepreneurs in the East African country.
EIB Global is providing a EUR50 million (US$55 million) credit line to Family Bank, which will match the sum in an agreement to expand loans for Kenyan SMEs and mid-caps.
The financing accord, announced during the second edition of the European Union-Kenya business forum in Nairobi, seeks to bolster the working capital and investments of Kenyan SMEs and mid-caps active mainly in the trade and agriculture sectors.
At least 50 per cent of the financing will target businesses owned or run by women while a further minimum of 30 per cent will be extended to youth entrepreneurs.
“SMEs represent over 80 per cent of our customer base. As a result of our growth efforts, our market revenue from this segment continues to increase, further underscoring the sector’s strong growth potential,” said Family Bank CEO Nancy Njau. “This partnership not only supports our 2025–2029 strategy to scale SME lending and deepen market segmentation but also enables us to better address the specific needs of SMEs across various value chains for sustainable growth and long-term value.”
In addition to the credit line, EIB Global will provide Family Bank with technical assistance to enhance its gender strategy and product offering. This includes a potential certification under a 2018 initiative called 2X Challenge launched by development and multilateral finance institutions to invest in women worldwide.
“We recognise that beyond access to financing and investment opportunities, small businesses, especially those led by women, also need education, information and networking opportunities with like-minded enterprises,” said Njau. “This partnership enables us to offer that holistic support.”
