Family Bank has secured KSh 2.6 billion from British International Investment (BII), to expand its lending capacity to micro, small, and medium-sized enterprises across Kenya.
The funding facility, classified as a 2X-qualified investment under BII’s global initiative to promote gender equality, is designed to accelerate inclusive economic growth by increasing access to trade and working capital for underserved business segments. At least 50 percent of the funds will be directed toward women-led businesses and enterprises within the agribusiness sector, spanning agricultural production, processing, logistics, and broader value chain support.
Speaking during the announcement, Family Bank CEO Nancy Njau emphasized the strategic importance of the funding at a time when MSMEs face persistent challenges accessing foreign currency and affordable credit.
“MSMEs in Kenya continue to grapple with foreign currency liquidity constraints, which hinder their ability to transact effectively in local and global markets. With SMEs accounting for more than 80 percent of our customer base, this partnership with BII enhances our ability to provide innovative, flexible, and cost-effective financing solutions tailored to their needs,” Njau stated.
The partnership comes at a time when Family Bank is showing strong financial performance. In the first quarter of 2025, the bank posted a net profit of KSh 1.05 billion, a notable increase from KSh 910 million recorded during the same period in 2024. The bank continues to grow its market share by focusing on SME banking, digital transformation, and inclusive finance.
British International Investment underscored the critical role MSMEs play in Kenya’s economy, particularly in job creation and poverty reduction. According to Seema Dhanani, BII’s Regional Director for East Africa and Head of Office, the partnership aligns with Kenya’s long-term development priorities.
“In Kenya, MSMEs represent 98 percent of all businesses and are a key source of employment for youth, women, and vulnerable groups,” said Dhanani. “By partnering with Family Bank, we’re enabling increased access to trade and working capital for these businesses,especially women-led and agri-focused enterprises—which are crucial for driving Kenya’s economic resilience and social transformation.”
The funding is expected to enhance liquidity in critical sectors, stimulate entrepreneurship, and strengthen supply chains across rural and urban areas. Both institutions see this collaboration as a long-term commitment to bolstering financial inclusion and accelerating the achievement of the United Nations Sustainable Development Goals (SDGs), particularly SDG 5 (gender equality) and SDG 8 (decent work and economic growth).
This latest investment adds to BII’s growing portfolio in Kenya, where the institution continues to support sustainable private sector growth through capital partnerships focused on green finance, infrastructure, and inclusive financial systems.
