The Co-operative Bank of Kenya (Co-op Bank) is set to enhance is financing offering for women businesses in a new deal with the International Finance Corporation (IFC). In the new deal, the IFC has extended USD370,000 which is equivalent to around Sh. 48 million in advisory support for Co-op Bank’s lending to women-led enterprises.
“The project will be expected to achieve high development impact through increasing access to finance and to non-financial services for women and women businesses in the micro small and medium enterprises category in Kenya,” the IFC said in a statement.
This is the latest collaboration between Co-op Bank and the IFC that is aimed at shoring the sustainability of local businesses.
In September this year, Co-op Bank received Sh. 18 billion from the International Finance Corporation (IFC) to support small businesses in Kenya.
“The most significant, expected Project-level outcome is increased access too micro small and medium enterprises finance in Kenya, particularly for women-owned micro small and medium enterprises,” said IFC in a disclosure on the financing.
“Beyond this outcome, IFC anticipates that the Project has the potential to promote greater banking sector resilience in Kenya via capacity building and the demonstration and replication channel.”
The IFC stated that the financing arrangement with Co-op Bank was approved by the IFC board and signed by both Co-op Bank and the IFC in June 2024. The facility will run for seven years with a two-year grace period for Co-op Bank.
Co-op Bank finances Sh. 314 million brand new Forward Travellers Sacco buses
“Co-op Bank is Kenya’s largest bank in terms of number of clients and the fourth-largest bank in terms of total assets with a market share of around 10 per cent. Co-op has an extensive nationwide presence, including outside the main urban areas. Through its network of 193 branches, 608 ATMs, and over 5,000 staff and 18,000 banking agents, the Bank serves more than 9 million customers in the country,” said IFC in the disclosure. The International Finance Corporation is the private sector arm of the World Bank.
