Swedfund provides a USD 15 million long-term subordinated loan to Equity Bank Kenya, a leading Kenyan commercial bank with a strong focus on small and medium-sized enterprises (SMEs). By supporting Equity Bank, Swedfund will contribute to private sector development, job creation, and responsible lending practices.
– As a Development finance institution, we have an important role to play. By investing in financial institutions and funds we help them to boost funding and lending to local businesses and entrepreneurs. We enhance our partners the consideration of environmental and social risks and impacts of lending by agreeing on a plan of action. We are pleased to support a bank that focuses on SMEs, as this segment account for 4 out of 5 new job opportunities and contribute up to 33% of GDP, said Maria Håkansson, CEO at Swedfund.
Equity Bank is working towards enhancement of access, convenience and affordability of financial services by providing financial services to SMEs, the low-income segment and the un-banked population.
Equity Bank Kenya has raised a total of USD 100 million from a consortium of European development finance institutions to enable the bank’s continued growth and strengthen its capitalization. Swedfund invests USD 15 million as a long-term subordinated loan.
About Equity Bank Kenya
Equity Bank Kenya is the Kenyan banking subsidiary of Equity Group Holdings Plc, a leading banking group in East Africa present in Kenya, Uganda, South Sudan, Rwanda, Tanzania and Democratic Republic of Congo. Equity Group is listed on the Nairobi Securities Exchange, Uganda Securities Exchange and Rwanda Securities Exchange. The Bank’s history is deeply rooted in low-income banking as it was established in 1984 as a mortgage provider for low-income individuals in Kenya, named Equity Building Society, and was converted into a full-service inclusive commercial bank in 2005. The Bank has a substantial nationwide presence in Kenya through its distribution network – the largest in the country. For more information, visit www.ke.equitybankgroup.com/