Digital credit provider MyCredit Limited has received a funding deal worth Ksh.325 million from OikoCredit for onward lending to SME customers.
The funding will support MyCredit in offering affordable and medium-term financing of up-to a maximum period of three years to its SME customers.
Through the partnership, the SMEs will be able to create more job opportunities in the communities within which they operate.
“The Institution has disbursed a total of 15,500 loans to customers across the country with a total value of Sh6.28 billion in the last 6 years. Over that period Mycredit Limited has opened 14 branches and created 158 direct jobs,” MyCredit CEO Wangaruro Mbira.
“We have over 10,000 customers living up to our mission of supporting businesses & families achieve more financial freedom through offering tailor made bridge finance solutions (loans) to Small & Medium Enterprises (SMEs), Professionals and Civil Servants.”
OikoCredit, is a social impact investor and worldwide cooperative with over four decades of experience in promoting sustainable development through investments.
It focuses on investments around financial inclusion, agriculture and renewable energy sectors in Africa, Asia and Latin America.
MyCredit is seeking to grow to grow this relationship to Ksh.1.25 billion in 3 years.
“This transaction enables Oikocredit and MyCredit to work together to provide funding to support SMEs in Kenya. SMEs are one of the main pillars of economic growth as they have a multiplier effect of supporting many households through the creation of sustainable jobs,” Michael Kariah, Investment Officer East and Southern Africa at Oikocredit said.
“Our funding and capacity-building support will enable the company to make further progress in key impact areas while expanding the outreach to more underserved SMEs in the country.”
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