The Kenya Development Corporation (KDC) has committed to accelerate the provision of loans to key sectors of the economy to spur growth through innovative financing schemes.
Some of the target sectors are manufacturing sector, Small and Medium Enterprises (SMEs), agribusiness, health, hospitality and tourism, real estate, energy, climate change, information and communications.
“The proposed credit lines will serve as a catalyst for economic progress, allowing KDC to facilitate access to affordable financing for key sectors that drive economic growth and employment in Kenya. The partnership with the development partners will help KDC to achieve its mandate by providing the necessary funding to support the SMEs,” KDC Board Chairman Dr. Sakwa Bunyasi said.
During a high-level meeting with local and international development partners, Trade Cabinet Secretary Moses Kuria said that the government will enhance collaboration and synergy in pursuit of development objectives.
Mr Kuria has reiterated KDCs role as the engine for the country’s development. He emphasized that KDC’s need to leverage on its enterprise value as a Development Finance Institution to attract Foreign Direct Investment (FDI).
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Onward lending to sectors
The forum brought together key stakeholders to explore opportunities for partnership in establishing credit lines that will facilitate onward lending to crucial sectors of the Kenyan economy.
KDC Board Chairman Dr Sakwa Bunyasi emphasized the importance of this collaboration to enable KDC to provide financial resources to vital sectors of the economy.
Through strategic lending partnerships, KDC aims to bolster the development of industries such as agriculture, technology, healthcare, infrastructure, and renewable energy in line with President William Ruto’s with the Kenya Kwanza Bottom-Up Economic Transformation Agenda (BETA).
On her part, KDC Director-General Norah Ratemo said the credit line will open up new avenues for collaboration, innovation, and collective efforts to address the socio-economic challenges Kenyan entrepreneurs face while scaling their enterprises.
“The infusion of capital will accelerate sustainable economic growth,” Ms. Ratemo said.