The European Investment Bank, Europe’s long-term lending institution, today launched a new multifaceted Technical Assistance program aiming to improve bank management and promote viable banking practices amongst a number of partner institution across East Africa. These partner institutions – including the East African Development Bank, commercial banks and microfinance institutions - are benefiting from credit lines extended by EIB across Kenya, Uganda, Tanzania and Rwanda targeting SMEs and micro-enterprises. The technical assistance programme is automatically extended to financial institutions benefiting from EIB credit lines at no cost for them.

The new EUR 5 million technical assistance programme will help diffuse best-practices in several aspects of bank management and ensure that banks continue to improve their operations and train their staff to the highest standards in the increasingly competitive banking industry of the region. Part of the programme extends also to the clients of the banks, that is, the local companies and aims to improve their entrepreneurial skills, drafting of business plans and submitting quality credit requests, among others. The new technical assistance programme is already being rolled out in Kenya, Tanzania, Uganda and Rwanda with permanent presence of consultants in continuous contact with the banks and the local business environment.

The aggregate signed credit facilities of European Investment Bank towards financial institutions in the region have amounted to EUR 454 million (approximately KES 51 billion) since 2009 and reflect the EIB’s  growing support of the region’s private sector through selected financial sector partners.

Background

The following EIB partner financial institutions in East Africa will benefit from the technical assistance programme:

 

Kenya

 

Uganda

1

African Banking Corporation

1

DFCU Bank

2

Consolidated Bank of Kenya

2

Centenary Bank

3

Chase Bank Kenya

3

Crane Bank

4

Housing Finance Company of Kenya

4

Housing Finance Bank

5

Co-operative Bank of Kenya

 

6

Equity Bank

 

7

Prime Bank

 

8

Family Bank

 

9

Faulu Microfinance Bank

 

10

K-Rep Bank

 

 

 

Tanzania

Rwanda

1

National Microfinance Bank

1

I & M Bank Rwanda

2

CRDB Bank

2

Banque Rwandaise de Développement

3

Bank of Africa Tanzania

3

KCB Rwanda

 

 

 

 

 

Regional

 

 

 

East African Development Bank

 

 

The EIB is in negotiations with additional banks in East Africa that are expected to join the Bank’s credit line schemes and benefit from this technical assistance programme.