KCB Bank gets Sh13bn from UK’s BII to boost women, climate sectors

Published By The Statesman For The Statesman Digital
3 hours ago

KCB Bank Kenya has secured a Sh13 billion ($100 million) Tier 2 capital facility from British International Investment (BII) to expand lending to climate-focused projects and women-led small and medium-sized enterprises (SMEs).

The funding will strengthen KCB’s balance sheet and support local businesses adopting innovative climate technologies, including renewable energy, green mobility, and sustainable agricultural value chains.

It also aligns with the bank’s commitment to the UN Sustainable Development Goals (SDGs) 5 (Gender Equality), 8 (Decent Work and Economic Growth), and 13 (Climate Action).

KCB plans to channel a significant portion of the funding toward women entrepreneurs through its Female-Led and Made Enterprises (FLME) proposition, which seeks to bridge gender-related financial barriers.

“The new facility will enable us to extend credit to women-owned and women-led SMEs, especially in the informal sector, by addressing systemic challenges, discriminatory policies, and cultural barriers that restrict access to financing,” KCB said in a statement.

The investment also qualifies under the 2X Challenge, a global initiative to mobilize capital toward women-focused businesses, of which BII is a founding member.

Chris Chijiutomi, MD and Head of Africa at BII, emphasized the institution’s commitment to strengthening Africa’s banking sector through strategic partnerships.

“Kenya is a key market for BII. By providing capital to KCB, we are scaling investments in climate projects and expanding opportunities for women-owned businesses—both critical to Kenya’s economic growth and green development agenda,” he said.

KCB has committed Sh50 billion annually to support women-led enterprises under the FLME initiative, which has so far disbursed at least Sh150 billion since its launch in 2022, fostering entrepreneurship and job creation.

KCB Group CEO Paul Russo said the funding would further the bank’s sustainability efforts.

“This partnership is a major step toward expanding our lending to climate-aligned businesses and women-led enterprises while strengthening our capital base. We aim to scale support for sustainable economic growth,”* Russo stated.