EBRD channels $100mln to Kenya SMEs, 30% for green investments

31 / 07 / 2026

By Marwa Nassar - -

The European Bank for Reconstruction and Development (EBRD) is extending a $100 million loan to KCB Bank Kenya to expand financing for micro, small and medium-sized enterprises (MSMEs), with 30% of the facility earmarked for green investments to support the country’s transition to a low-carbon economy.

The financing will also promote financial inclusion, with 35% of the credit line allocated to women- and youth-led businesses, helping improve access to capital for underserved entrepreneurs while supporting economic growth and job creation.

Boosting green lending:

Alongside the loan, KCB Bank will receive technical assistance, including advisory services, training, and technical expertise, to strengthen its capacity to finance green projects.

The bank said the facility will help scale up lending for renewable energy, climate-smart agriculture, and other environmentally sustainable investments aligned with Kenya’s climate goals.

Supporting Kenya’s sustainable growth:

The investment marks the EBRD’s first operation in Kenya’s financial sector since the lender began investing in the country in 2025. The bank said the partnership will strengthen support for MSMEs while advancing green finance and fostering a more resilient and inclusive economy.