French agency gives grant to PTA Bank
Posted Wednesday, April 18 2012 at 21:43
The French Development Agency (AFD) has extended a grant to the Eastern and Southern African trade and development bank, PTA.
The Sh54 millon grant will be used to finance technical assistance to boost the bank’s capacity in management of infrastructure financing, environment and social risk as well as to formulate anti-money laundering policies.
PTA Bank recorded a 69 per cent growth in net earnings last year to $34.2 million on the back of increased financing to key energy, transport, agri-business, manufacturing, tourism, and financial services sectors.
“AFD’s technical and institutional development assistance will boost the bank’s capacity to leverage on its supra-national status with the ultimate aim of attaining strong investment grade international ratings,” said the President of PTA Bank, Mr Admassu Tadesse after signing the agreement.
Mr Tadesse took over the banks leadership in April from Dr Michael Gondwe who completed two five-year terms at the bank.
Mr Tadesse served as a top executive at the Development Bank of South Africa before joining PTA.
Kenyan lenders have benefited from International lenders and development partners turning to Africa for partnership following its growth in private credit.
“France is really pleased that AFD starts this partnership with PTA Bank which is a very active institution of Comesa in supporting private sector, trade and infrastructure development,” said the French ambassador to Kenya Etienne de Poncins.
AFD is also supporting a programme to combat physical and commercial losses incurred by the Nairobi City Water and Sewerage Company in its network through an over Sh150 million technical assistance contract.