KCB and Absa expand sustainable financing for Kenyan MSMEs

KCB Bank Kenya has secured a US$100 million facility from the European Bank for Reconstruction and Development (EBRD) to broaden credit access for micro, small and medium enterprises. The agreement earmarks 35% of the funding for women‑ and youth‑led businesses and 30% for green investments, aiming to promote climate‑smart technologies and sustainable practices.

Absa Bank Kenya reported that it has disbursed more than KES 204 billion in sustainable finance since 2022, with sustainable loans making up 30% of its gross loan portfolio in 2025. Of the 2025 disbursements, KES 48.8 billion supported SMEs, women‑led enterprises, youth entrepreneurs and underserved communities, while KES 6.5 billion financed renewable‑energy projects, green buildings, energy efficiency and climate‑smart agriculture. The bank also highlighted its environmental initiatives, including planting nearly 284,000 trees and achieving a 96.4% waste‑recycling rate.