IFC gives I&M’s Mauritius bank Sh3.75bn loan
Mauritius-based Bank One has obtained a Sh3.75bn (US$37.5mn) loan from International Finance Corporation (IFC). The Kenyan banking group I&M Holding has a 50% stake in the company. Bank one is a joint venture between I&M and CIEL Group, the latter of which is also based in Mauritius. Indirect owners also include Minard Holdings via I&M, and the investment group Amethis Finance via CIEL.
This senior loan will enable the bank to increase its lending to local businesses. The criteria to obtain a business loan requires the company to have between 10 and 300 employees or annual sales of Sh10mn ($17,353) to Sh1.5bn (£2.6mn). This will in turn allow IFC to continue to support the funding of small to medium businesses, women-owned businesses and climate improvement movements through the loan to Bank One.
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The IFC said in its investment disclosures.“The IFC loan will strengthen the bank’s long-term funding position and support the expansion of its lending operations to SMEs.”
Loans from banks such as IFC are becoming increasingly popular due to their generous terms such as lower interest rates. Many small and medium enterprises will undoubtedly benefit from this loan.