AfDB and Family Bank Unlock $10m in Foreign-Currency Trade Finance for Kenyan Businesses

The African Development Bank Group and Family Bank Limited have signed a $10 million Trade Finance Line of Credit to expand Kenyan businesses’ access to foreign-currency financing.

The facility will enable Family Bank to provide trade financing to eligible small and medium-sized enterprises and local corporates in manufacturing, agriculture, health and renewable energy, as well as women-owned enterprises. It is expected to help businesses finance imports, obtain productive inputs and participate more effectively in domestic, regional and international value chains. 

The partnership is designed to deepen value chains, diversify Kenya’s productive capacity and support intra-African trade under the African Continental Free Trade Area. By providing foreign currency, the facility aims to help businesses overcome a key constraint on trade and expansion. 

The line of credit is part of a broader $30 million Trade and SME Finance Facility approved by the AfDB Board in March 2023. That package includes a short-term trade finance line, a transaction guarantee facility and a targeted line of credit for medium-term financing in health, renewable energy and agriculture. 

The facility will support SMEs and local corporates in key sectors, including manufacturing, agriculture, healthcare, renewable energy and general commerce. It will also support women-owned and women-led enterprises, helping to broaden access to finance for groups often underserved by traditional lending. 

Family Bank’s Managing Director and CEO, Julius Kipng’etich, said the bank was honoured to partner with the AfDB to support SMEs and women-owned businesses. The financing is expected to strengthen local value chains and expand productive capacity across Kenya. 

The AfDB’s Director for Financial Sector Development, Ahmed Attout, said the facility would help mobilise financial resources for SMEs and corporates while supporting the AfCFTA agenda. By improving access to trade finance, the partnership aims to stimulate economic growth and deepen regional integration.

For Kenyan businesses, the line of credit offers a practical route to foreign currency for imports and expansion. The challenge now is to ensure the financing reaches the businesses that need it most and translates into stronger trade activity and job creation.

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