Co-operative Bank #ticker: COOP received 6.3 billion shillings (50 million euros) from the European Investment Bank for subsequent loans to small businesses to help them recover from the impact of the Covid-19 pandemic.
Co-op Bank Managing Director Gideon Muriuki said micro, small and medium enterprises (MSMEs) with up to 250 workers can apply for the loan.
The long-term loan will be repayable over seven years and will help MSMEs finance the acquisition of tangible business assets, working capital, development of distribution network innovation and business research.
Mr Muriuki said the loan was part of the bank’s efforts to help Kenyan businesses recover from the challenges of Covid-19.
âThe credit facility will be available up to a maximum of 1.5 billion shillings per customer for a maximum term of seven years,â he said.
âThe Cooperative Bank’s commitment to the SME sector in Kenya will ensure that this facility will be available immediately,â added Mr. Muriuki.
The European Investment Bank, the lending arm of the European Union, has been a partner of the lender in financing investments since 2003.