Equity bank receives sh. 5b to cushion SME’s over COVID-19 effects

Equity Bank CEO James Mwangi .photo:file

Equity Bank has received sh 5.3 billion to lend to its small and medium-sized clients (SME), especially those facing COVID-19 related challenges.

The loan from IFC, a member of the World Bank Group, will ultimately support hundreds of Kenyan businesses in the manufacturing, health, trade, transport, and consumer goods.

Dr. James Mwangi, Equity Group CEO, said the bank purposed to support and walk with Kenyans so that they can survive during this crisis, recover, and thrive after it.

“IFC’s loan, part of our business continuity management plan, will help Equity Bank extend much-needed support to our clients, particularly to SMEs in sectors hit hard by COVID-19. he said.”

IFC Country Manager for Kenya Manuel Moses said their aim is to keep businesses solvent and protect jobs due to unprecedented challenges of COVID-19.

The COVID-19 pandemic has disrupted trade and value chains in Kenya, across Africa, and around the world, affecting commodity prices, reducing foreign financing flows, and collapsing tourism revenues.

Smaller businesses are the life blood of Kenya’s economy, accounting for about 81 percent of employment.