The International Finance Corporation (IFC) has extended a Ksh. 1.7 billion (USD 15 million) loan to Guaranty Trust Bank (GTBank) Kenya to help Kenyan businesses access more financing. GTBank Kenya will provide access to finance mainly to SMEs in the trade, consumer goods, pharmaceuticals, and manufacturing sectors, among others, helping them retain and create jobs, and strengthen their operations.
The loan is part of the Ksh. 908 billion (USD 8 billion) IFC Fast Track COVID-19 Facility launched in 2020. The facility is designed to support existing IFC clients in emerging markets affected by the economic fallout from COVID-19. IFC is committed to supporting Kenya’s long-term economic growth. IFC’s investment portfolio in Kenya stood at Ksh. 106.7 billion (USD 940.1 million) as of June 30th, 2021 with most investments in the finance, manufacturing, agribusiness, and services sectors.
Speaking on IFC’s loan to GTBank, Olabayo Veracruz, Managing Director, GTBank Kenya said, “The IFC loan will help the Bank meet the working capital and trade-related needs of businesses, especially SMEs that are part of our core clientele. These businesses were adversely affected by the pandemic and are now recovering and reviving as the economy opens up, therefore requiring the support of the Bank through access to credit.”
“IFC is committed to supporting Kenya’s private sector, including strengthening its financial sector in order to help the country’s smaller businesses to access more financing. Our partnership with GTBank Kenya will deliver funds to businesses, allowing them to emerge stronger from the COVID-19 crisis,” said Amena Arif, IFC Country Manager for Kenya on her part.