The European Investment Bank (EIB) has provided a 6.3 billion shillings (50 million euros) credit facility to the Kenyan banking group Co-operative Bank to help micro, small and medium-sized enterprises ( MSME) to recover from the impact of the Covid-19 pandemic.
The long-term loan will be repayable over seven years and will help MSMEs finance the acquisition of tangible business assets, working capital, innovation development of distribution networks and business research.
According to Mr. Muriuki, Managing Director of Co-operative Bank, “the credit facility will be available up to a maximum of 1.5 billion shillings (12 million euros) per customer for a maximum term of seven years.” The bank’s commitment to the SME sector in Kenya will ensure that this facility will be available immediately, reassures the official.
Note that since 2003, the EIB, the lending branch of the European Union, has been a partner of the bank to finance investments.
Co-operative Bank of Kenya posted net profit up 18.9 percent to 12 billion shillings (95.3 million euros) in the first nine months of the year, according to quarterly results.