The loan will help smaller businesses across a range of sectors in Kenya access financing for working capital, expansion, and to weather the effects of COVID-19.
Faced with challenges, a growing number of vendors in Kenya's slums turned to credit unions and savings groups, which could provide loans without collateral, to boost their businesses.
The loan aims to help the bank increase lending for climate-friendly projects and to smaller businesses, especially those owned by women.
The bank’s chief executive Gideon Muriuki said the funds would be used to support businesses to better cope with the disruptions brought about by the COVID-19 pandemic.
Kenyans transacted 528.9 billion shillings (about $4.9 billion) on their mobile phones in October as usage rose considerably amid the COVID-19 pandemic, new Central Bank of Kenya data showed.
The Kenya Bankers Association will work with Huawei to spearhead industry-wide education in fintech innovation, digital transformation, and other ICT-related programs.
The huge surge is attributed to a government measure instituted to curb COVID-19 spread by encouraging the use of mobile money payments.