Absa Bank sets aside Sh100b to empower small businesses over the next 3 years

Absa Bank Kenya Chief Executive Abdi Mohamed checks out wares during the bank's Annual Business Club Forum. [Courtesy]

Absa Bank Kenya has announced a Sh100 billion funding commitment to spur the development of Micro, Small and Medium Enterprises (MSME) across various value chains over the next three years.

The funding line is expected to improve the resilience of the sector by offering ready access to working capital, further cementing the bank's role in catalysing Kenya's economic growth and development.

Speaking during the bank's Annual Business Club Forum, Absa Bank Kenya Chief Executive Abdi Mohamed, underscored the organisation's commitment to continue investing in the growth of the MSME sector.

"As a bank, we are fully cognizant of the immense contribution that MSMEs make to Kenya's economy through job creation and their contribution to the Gross Domestic Product (GDP).

We particularly recognise the need to avail sustainable finance solutions and expertise to cushion these businesses in times of unexpected downturns. The support we are committing today aims to ensure that MSMEs have ready access to capital that enhances their resilience," said Mr Abdi.

Speaking at the event on behalf of Cooperatives and MSMEs Development Cabinet Secretary Simon Chelugui, Director General and Chief Executive Micro and Small Enterprises Authority (MSEA) Henry Rithaa, said the ministry has set several key initiatives to ensure the creation of an environment in which MSMEs can thrive and achieve their full potential.

"One of the key targets the Ministry is revitalising priority value chains that create impact, reduce wastage and duplication in our economy," Mr Rithaa said.