The Co-operative Bank of Kenya launched its strategy to tap into Micro, Small and Medium Sized enterprises. (MSMES) over the past one year, in partnership with the international finance corporation, the bank has been focusing on customer engagements and research work to better understand the dynamics of this critical sector. 

this sector forms the backbone of the Kenyan economy as over 90% of the private sector consists of MSMES with over 15 million Kenyans employed in the either one point seven million registered businesses or the seven million unregistered. Statistics from the World Bank show that Kenya’s economy is expected to grow by an estimated 5.5 percent this year boosted by the trade, tourism and manufacturing industry.  

Co-operative bank has committed to align itself to the governments requirement of ensuring that a minimum of 20% of its lending goes to MSME sector. The MSME strategy will offer unsecured business loans, a first of its kind in Kenya, e-credit through the Mco-op cash app where businesses will be able to borrow up to Ksh. 2 million via their phone which will eliminate the issue on non-flexible financing solutions that many MCMES face.