Kenya - Equity Group Holdings Plc

Project Summary

Approval Date 28 Nov 2019
Signature Date 11 Dec 2020
Sovereign / Non-Sovereign Non Sovereign
Sector Finance
DAC Sector Code 24030
Commitment U.A 75,989,574.23
Status Approved

Project General Description

The proposed project relates to the provision of USD 100 million subordinated debt funding, tier II qualifying debt, to Equity Group Holdings Plc (EGH). It seeks to enhance the borrower’s capacity to expand its lending activities to MSMEs and local corporates across various countries in Africa. The subdebt will have a tenor of eight years inclusive of a grace period of five years in order to align with tier II qualifications as guided by Central Bank of Kenya Prudential Guidelines. The subdebt will bolster EGH’s interventions in key sectors including agriculture, manufacturing and trade across countries of operation through its prowess of delivering funding to otherwise financially excluded business segments/ groups such as MSMEs, women and youth. EGH was initially known for its lending to SMEs and its focus on this business segment at a time when hitherto mainstream lenders were downsizing and scaling down on SME lending. EGH has widened its coverage to include micro enterprises as evidenced by its service offering to the unbanked in camps for internally displaced persons and refugees in Uganda, Rwanda and Kenya.

Project Objectives

The purpose of the project is to facilitate the regional expansion of the Equity Group Holdings Plc (“EGH”) with a view to expanding its support to Micro, Small and Medium Enterprises (MSMEs) businesses across East, Central and Southern Africa, contributing to regional integration, industrialization, job creation and inclusive growth.


The direct beneficiary of the intervention is the EGH. Indeed, the facility will complement the support of the African Development Bank (AfDB) to EGH in the form of long-term project financing through the Kenyan subsidiary. The facility will also improve the provision of long-term financing to worthy market segments, including MSMEs, women and young people.

Participating Organization

African Development Bank


IATI identifier 46002-P-KE-HAB-030
Last Update 21 Mar 2023


Contact Details

Name Julius Karuga MACHARIA

Geographic Location

Country Kenya
Coordinates Location Name
-1.28333 36.83333 Nairobi