Co-op Bank MD & CEO Dr. Gideon Muriuki announces IFC-arranged loan facility for on-lending to MSME’s
Co-operative Bank of Kenya has secured an 8.25 Billion shilling long-term financing facility arranged by the International Finance Corporation (IFC) for on-lending to MSMEs at affordable terms.The long-term loan has a tenure of 7 years.
In a statement, Coop Bank Group Managing Director and CEO Dr. Gideon Muriuki said the bank will apply the proceeds of the facility to support customers to better cope with the disruptions brought about by the pandemic.
The loan facility intends to support customers operating in Micro, Small Medium Enterprises (MSMEs), and businesses undertaking Climate Smart Projects, including Agricultural inputs and sustainable agricultural practices, Renewable Energy, Energy Efficiency and related areas.
Commenting g upon the signing of the loan agreement, Dr. Muriuki said:
““The funding has come at a most opportune time as it boosts our ability to better support our MSME customers to stabilize and turn-around their businesses to meet the challenges brought about by the pandemic.”
The bank has leveraged on its strong balance sheet with total assets at over Sh 510 Billion as at 30 September 2020. The IFC facility is therefore seen as substantially enhancing the bank’s opportunities for growth and overall performance.
The key IFC facility comes in handy especially at this time as Co-op Bank is
implementing mitigating strategies to help customers ride out the ravages of the COVID 19 pandemic