Shariah-compliant Kenyan companies are set to benefit from a $100 million (about Sh10.4 billion) facility offered by the Islamic Corporation for the Development of the Private sector and the African Export-Import Bank (Afreximbank), which seeks to boost the private sector.
The continental lender said last week the line of credit will be utilised by Afreximbank to provide financing to small and medium-sized enterprises (SMEs) in its African member countries including Kenya.
“Afreximbank has a solid pipeline of projects in the industrial, communication, technology, healthcare, construction and agricultural sectors that would be financed by the ICD Line of financing,” said the lender.
Islamic Corporation for the Development of the Private sector (ICD) chief executive Khaled Al Aboodi said the funds would support private sector businesses with a Shariah-compliant structure.
“This facility will give a boost to our effort to implement our current strategy, which prioritises intra-African trade, intra African investments and export manufacturing of the labour-intensive type,” said Amr Kamel, executive vice president at Afreximbank.