Sidian Bank, a mid-tier bank focused on SMEs in Kenya, has received a KES 1.1 billion long-term facility from Switzerland based Impact Investment EMF Microfinance Fund (EMF).

Sidian Bank has received KES 1.1 billion (USD 10 million) from EMF Microfinance Fund (EMF) that will facilitate on-lending to Micro and SME enterprises as well as boost the bank’s regulatory capital. The bank has been on a steady growth trajectory attracting the interest of DFIs and international partners keen on growth of the Micro and SME sector.

Sidian Bank CEO, Chege Thumbi said, “The capital comes at an opportune time when the bank is expanding and investing in innovative digital and client tailor-made solutions. The funds will therefore accelerate realisation of these key business initiatives. The Bank has experienced significant growth with total assets standing at over KES 41 billion by close of 2021. The additional capital will enhance the bank’s regulatory capital and further boost its lending capacity to Micro and SMEs.”

EMF has a track record of providing access to capital and promoting financial inclusion to people in developing economies. The Fund supports promising, responsible, profitable and sustainable Micro, Small and Medium Enterprises, financing Intermediaries that focus on achieving social impact.  EMF is advised by Enabling Qapital, a Swiss-based Asset Advisor.

Chuck Olson, Managing Partner at Enabling Qapital commented “We are excited to be working with such a dynamic financial institution as Sidian Bank and happy to be able to support the growth of the institution over a long period of time.  We are particularly careful in our choice of subordinated debt partners, as we recognize that we will be in that relationship for a long time.  Sidian Bank has exceeded all of our investment criteria for this product.”

Micro and SMEs are the backbone of the economy and Sidian Bank is keen on providing affordable access to credit, contributing to growth of the sector and development of the economy which is in line with the bank’s vision.