NCBA has renewed its long-standing partnership with the African Guarantee Fund (AGF), securing a KES 3 billion credit guarantee facility aimed at expanding access to finance for small and medium-sized enterprises (SMEs) in Kenya. The renewed facility will run for 10 years and will place particular emphasis on supporting women-led businesses and those operating in green sectors.
The enhanced guarantee agreement was signed by Mr John Gachora, Group Managing Director of NCBA, and Mr Jules Ngankam, Group Chief Executive Officer of AGF.
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Continued impact on SME lending
Under the risk-sharing mechanism with AGF, NCBA has so far disbursed close to KES 17 billion in loans. This has supported 696 SMEs through over 3,500 transactions, amounting to KES 8 billion. The outstanding loan portfolio stands at KES 1.7 billion.
The collaboration has contributed to the creation of approximately 7,200 jobs, including 2,200 positions for women and 4,100 for youth.
Speaking during the signing ceremony, Mr John Gachora said, “This strategic partnership with AGF is proof of our devotion to SMEs, particularly those spearheading sustainable practices led by women. I believe that by increasing our guaranteed limit, our capacity to offer more flexible and long-term financial solutions that support SME growth will contribute to economic growth.”
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Supporting women entrepreneurs
NCBA has reinforced its commitment to women’s financial inclusion, following recent engagements such as the International Women’s Day dinner held in Kapsabet. During the event, the Group outlined its intention to expand access to financial solutions tailored to women entrepreneurs and support their growth through business education and strategic partnerships.
The renewed agreement includes a Capacity Development grant from AGF. This grant will be used to improve NCBA’s ability to support women-led SMEs by building a pipeline of businesses that are credit-ready.
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Advancing sustainability and inclusion
AGF’s Group CEO, Jules Ngankam, described the partnership as a key driver of job creation and business development in Kenya.
“Our partnership with NCBA represents a significant step in our mission to support SMEs, who constitute almost 98% of all business in Kenya, and create over 30% of the jobs annually. NCBA has been a valued partner for over 12 years, and this renewal marks a new milestone in our shared mission to unlock financing for SMEs. Our collaboration has already achieved remarkable impact, and by increasing this facility, we can reach even more businesses that are shaping the future of Kenya’s economy,” said Ngankam.
The partnership aligns with AGF’s Affirmative Finance Action for Women in Africa (AFAWA) programme and its Green Guarantee Facility, both of which aim to expand opportunities for women entrepreneurs and promote environmentally sustainable practices.
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Broader commitments and future plans
NCBA continues to drive inclusive finance by dedicating at least 30% of its procurement budget to women and youth. The Group also partners with Proparco through a KES 6.5 billion facility that supports both green projects and women-led enterprises under its “Change the Story” strategy.
Additionally, NCBA invests KES 150 million annually in education, sports, and community development. The institution is also active in environmental initiatives such as tree planting and plastic reduction.
