Victoria Commercial Bank has received a loan of Sh502 million ($5 million) from Swedish development finance institution Swedfund.
The seven-year loan is for capitalisation of the bank which will further enable it to increase financing of small and medium enterprises (SMEs).
“On April 18, 2018, Victoria Commercial Bank Ltd finalised a placement of $5 million of a subordinated tier-2 compliant loan from Swedfund, the Swedish development finance institution,” the company said in a statement.
“The seven-year loan provided by Swedfund will be used by Victoria Commercial Bank for capitalisation which will increase the financing lending to SMEs.
“This subordinated tier-2 capital will help to continue our growth strategy whilst maintaining our core vision of providing quality financial services,” said the bank’s CEO Yogesh Pattni.
“Swedfund decided to finance the bank due to its focus on offering award-winning corporate banking services to its clients and its robust performance in a challenging business environment,” said the financier in a statement.