Kenyan financial services group NCBA has renewed its partnership with the African Guarantee Fund (AGF) through a KES 3 billion (about US$23.1 million) enhanced guarantee agreement, reaffirming its commitment to supporting small and medium-sized enterprises (SMEs) in the country.
The 10-year partnership places a particular focus on women-led businesses and environmentally responsible sectors.
“This strategic partnership with AGF is proof of our devotion to SMEs, particularly those spearheading sustainable practices led by women,” NCBA group managing director John Gachora said on Monday.
With this renewal, NCBA aims to increase its support for SMEs while advancing renewable energy projects, sustainable agriculture and women’s economic empowerment, Gachora added.
AGF group chief executive Jules Ngankam said the specialised guarantee provider would also provide a capacity development grant to strengthen NCBA’s ability to lend to women-led SMEs, aligning with its Affirmative Finance Action for Women in Africa initiative.
“Our partnership with NCBA represents a significant step in our mission to support SMEs, who constitute almost 98 percent of all business in Kenya and create over 30 percent of the jobs annually,” Ngankam said.
Over the years, this collaboration has enabled NCBA to disburse nearly KES 17 billion in loans, benefiting 696 SMEs and generating 7,200 jobs, including 2,200 for women and 4,100 for youth.
JN/APA