By STANDARD REPORTER
The International Finance Corporation (IFC) has provided a credit line of $50 million (Sh4.35 billion) to I&M Bank for lending to small and medium businesses (SMEs).
IFC is a lending arm of the World Bank Group. I&M Bank will use the new credit line to offer financial services and products to entrepreneurs aimed at driving business growth across the country.
enhance exports
I&M Bank Executive Director Sarit Raja Shah said Kenya has high demand for foreign currency funding to expand production capacity and enhance exports. “The $50 million credit line from IFC is a milestone in I&M Bank’s business plan,” he said.
READ MORE
Unlocking Kenya's next phase of growth through powering SMEs
Muthoni Marubu says she was almost sexually harassed for backing Ruto
Joy Gatwiri: The girl who rose to the top of KJSEA in Brilliant School's
“It will secure long-term foreign currency funds for I&M to lend onward to SMEs. The funding will also assist the bank in bridging its foreign exchange maturity mismatches.”
Oumar Seydi, IFC Director for Eastern and Southern Africa (pictured), said IFC is committed to increase access to finance in Africa, more so in rural areas, where small businesses have more difficulty getting loans from commercial banks.
“IFC’s partnership with I&M Bank will extend financial services to rural Kenya’s businessmen and women, helping them grow their businesses and employ more workers.” The partnership continues an investment relationship that began in 2005, when IFC first extended a $3 million (Sh261 million) loan and a trade finance facility to the bank.
With 21 branches in Kenya, I&M Bank has of recent expanded into new markets.
The bank now has operations in Rwanda, Tanzania and Mauritius through its associates and subsidiaries.
I&M Bank’s growth strategy has seen its balance sheet size expand to Sh120 billion as at March 2013. It has been rated the fifth best bank in Kenya by The Banking Survey 2013 by Think Business Magazine.
