Lender earmarks Sh1b to support SMEs growth

Traders at Soko Mjinga market in Nyeri.[File, Standard]

Credit Bank has set aside Sh1 billion in 2026 to support the growth of small and medium-sized enterprises (SMEs) across Kenya, helping businesses expand, create jobs, and contribute to economic development.

This comes at a time when the government is banking on the private sector to drive economic growth, with SMEs remaining among the country‘s biggest employers and a key source of livelihoods for millions of Kenyans.

The Sh1 billion financing is part of the lender‘s broader approach to supporting SMEs, providing businesses with access to funding alongside trade finance, insurance, investment, payment, and transactional banking solutions that support growth. “SMEs are the backbone of Kenya‘s economy. Our role goes beyond providing financing. We work alongside business owners as they navigate growth, manage cash flow, and respond to changing market needs,” said Chief Manager Operations and Branches at Credit Bank Charles Kibara.

One of the businesses that has benefited from this approach is Xana Kenya, a retail and healthcare company that combines pharmacies, supermarkets, and wholesale shopping outlets.

The company aims to reduce the distance many Kenyans travel to access healthcare by expanding its presence across all counties.

Credit Bank has worked with Xana since its early days. Today, the partnership covers a range of financial solutions, including cash-backed overdrafts, insurance premium financing, medical insurance for staff, fixed deposits, salary processing, supplier payments, and trade finance facilities. On Friday, Xana opened its newest branch in Ruiru, Kiambu County, as part of its expansion push. ‘Credit Bank has been part of our journey from the beginning. As we have grown, the bank has continued to support us with solutions that help us run our business efficiently and plan for the future,” said Xana Kenya Chief Executive James Macharia.

Macharia said flexible financial solutions have helped the company maintain smooth operations during periods of rapid growth, including meeting obligations to contractors, suppliers and employees as new branches are opened.

Xana plans to grow to 12 outlets by the end of 2026, expand to 52 branches in 2027, and eventually establish more than 400 outlets nationwide.

According to the Economic Survey 2026, Kenya‘s informal sector supports more than 18 million jobs, while formal employment rose to 3.3 million workers in 2025.