AfDB and Family Bank Sign $10 Million Deal to Unlock Trade Finance for Kenyan Firms

Njau said MSMEs account for more than 80% of the bank’s customer base, making access to suitable financing a central concern for the institution and the businesses it serves.

Kenyan businesses seeking foreign-currency financing for imports and productive inputs are set to receive fresh support through a USD 10 million Trade Finance Line of Credit signed by the African Development Bank Group and Family Bank Limited. The agreement will expand access to trade financing for eligible small and medium-sized enterprises and local corporates, giving businesses more scope to secure the supplies they need and participate in domestic, regional and international value chains. Manufacturing, agriculture, health and renewable energy are among the sectors covered by the facility, which will support women-owned enterprises.

Financing That Connects Businesses With Opportunity

For a business that depends on imported equipment, materials or other productive inputs, access to foreign currency can influence its ability to keep operations running and respond to customer demand. The new facility will enable Family Bank to provide eligible firms with trade financing that addresses these needs, helping connect their day-to-day purchasing requirements with opportunities to grow. Its broader purpose includes supporting the diversification of Kenya's productive capacity and strengthening intra-African trade under the African Continental Free Trade Area, linking business financing with efforts to expand production and trade across African markets.

The agreement was signed on 2 October 2026 at the African Development Bank Group's East Africa regional office, where East Africa Director General Alex Mubiru exchanged the signed documents with Family Bank Chief Executive Officer Nancy Njau. Mubiru described trade finance as a quiet engine of economic activity, stressing that the value of a credit line depends on the opportunities it creates for businesses. He said Family Bank's local reach was expected to help the funding reach enterprises engaged in production, trade and job creation, strengthening the value chains that connect Kenyan businesses with suppliers and customers.

Small Businesses and Women Entrepreneurs Take Priority

The facility supports Family Bank's 2025–2029 strategy to widen access to financing tailored to business needs, including those of women-owned and women-led micro, small and medium-sized enterprises. Njau said MSMEs account for more than 80% of the bank's customer base, making access to suitable financing a central concern for the institution and the businesses it serves.

She explained that the credit line would strengthen Family Bank's capacity to increase lending to these customers and address financing gaps that continue to restrict business growth, with the expectation that greater lending capacity will translate into practical opportunities and contribute to inclusive economic growth.

Kenya's Deal Addresses a Wider African Financing Shortfall

The agreement comes against a substantial shortage of trade finance across the continent, with the African Development Bank Group's 2025 Trade Finance Report estimating that Africa's trade finance gap reached as much as USD 92 billion in 2024. Small and medium-sized enterprises are among the businesses most affected by that shortfall, making access to financing an important part of their ability to participate in trade.

The USD 10 million facility provides a targeted response in Kenya through a bank with an established MSME customer base, supporting eligible businesses as they finance imports, obtain productive inputs and build their participation in markets at home and abroad.