IFC Launches $20M Risk Sharing Facility to Boost Financial Inclusion for Refugees in Kenya

IFC will assume 50% of the exposure ($10 million) to increase access to finance for refugee-owned businesses and those in surrounding host communities.

The International Finance Corporation (IFC) has announced a groundbreaking $20 million risk-sharing facility for Equity Bank of Kenya, aimed at expanding financial access for refugees and their host communities. This initiative will focus on underserved areas like Turkana and Garissa, home to hundreds of thousands of forcibly displaced people from across Africa.

IFC will assume 50% of the exposure ($10 million) to increase access to finance for refugee-owned businesses and those in surrounding host communities. Supported by the PROSPECTS partnership, this model aims to be replicated across Africa, benefiting the continent's large refugee population.

Equity Bank CEO Dr. James Mwangi emphasized that this partnership aligns with their mission to transform lives and create opportunities in marginalized regions. The project also includes support from the Women Entrepreneurs Finance Initiative (WE-FI), which encourages financing for women-led businesses with a first-loss guarantee and performance incentives.