Family Bank has unveiled ‘Queen Banking’, a Kes50 billion credit line exclusively targeting women to cater to their diverse individual and business needs.
The financing scheme, which is set to run for two years, is part of the lenders strategies in deepening financial inclusion in Kenya especially among women in Kenya.
According to the lender, Queen Banking will cater to the needs of women in business, the career women as well as those involved in Chamas. Family Bank says the lending targets businesses with at least 51 per cent of the shares controlled by women or 100 per cent owned by women.
Also benefitting are businesses where women constitute more than 30 per cent of the board or more than 25 per cent of senior management. Businesses that have products or services specifically geared to benefit women are equally under consideration under Queen Banking.
By increasing on-ward lending to women, we are not only impacting their businesses, but also families, communities, societies and the nation,” explained Family Bank CEO Rebecca Mbithi during the launch.
According to the Economics Kenya Labour Force Report 2022, women form 49.7 per cent of Kenya’s total labour force. They also makeup 50.3 per cent of Kenya’s total population while 40 per cent of micro and formal SMEs are owned by women.
McKinsey Global Institute report 2015 finds that $12 trillion could be added to the global GDP if you add women to economic empowerment and narrow the gender gap.
“We are proud of the partnership we have fostered with Family Bank since 2015, and today’s launch of their new women banking proposition is supported by our capacity development initiative under the Affirmative Finance Action for Women in Africa (AFAWA) program. Our commitment is to continue working with them to develop transformational financial products and services for SMEs who are indeed the backbone of our economies and the major drivers of job creation,” said African Guarantee Fund Group CEO Jules Ngankam.
Mbithi noted that in the Kenyan market “women are starting businesses twice the rate of our male counterparts, yet their economic potential remains underserved.” It is therefore Family Bank’s plan to serve the women-owned and women-led businesses that form over 40 per cent of the lender’s customer reach,
“We are able to do these through strategic partnerships such as with the African Guarantee Fund. We recognise that the Kenyan woman needs access to financing, growth and investment opportunities as well as education and information, networking with like-minded businesses and individuals,” added Ms Mbithi.
Through Queen Banking, women can now access up to Kes7 million secured and unsecured loans through Biashara Boost, unsecured lending of up to Kes2.5 million to finance women doing piped water business supporting the community, unsecured lending of up to Kes10 million for working capital and construction of schools with up to 95 per cent for school bus financing, unsecured loan of up to Kes2 million for agri-business input loans, trade finance solutions, lifestyle benefits through strategic partnerships, Chama savings and investment options as well as bundled insurance solutions.