Social impact investor Oikocredit has approved a loan facility of $2.6 million to MyCredit Limited, a non-bank financial institution in Nairobi, Kenya. MyCredit serves over 10,000 customers and provides tailored loans to small and medium enterprises (SMEs), professionals, and civil servants.
This investment will enable MyCredit to continue improving access to capital for SMEs in a fast, convenient, and affordable way. Over the past six years, the institution has disbursed over 15,500 loans to customers across Kenya, totaling more than $60.8 million.
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Through this new partnership, MyCredit will be able to fulfill its mission of supporting businesses and local communities to achieve greater financial freedom. The CEO of MyCredit, George Mbira, expressed excitement about the partnership, saying it will allow the company to offer affordable and medium-term financing to its SME customers and create more job opportunities in the communities where it operates.
Oikocredit’s investment will also contribute to its mission of providing loans to organizations that promote financial inclusion and improve lives for low-income households in Kenya. Michael Kariah, Oikocredit’s Investment Officer for East and Southern Africa, emphasized that SMEs are a crucial part of economic growth and have a multiplier effect in supporting many households through the creation of sustainable jobs.
Overall, this new funding deal will enable Oikocredit and MyCredit to work together to provide funding and capacity-building support to SMEs in Kenya, while expanding their outreach to underserved SMEs in the country.
