Standard Chartered Plc plans to expand sustainable financing initiatives in Kenya and across Africa, seeking to channel more capital into key sectors such as agriculture, healthcare and manufacturing as the region positions itself for increased investment flows.
The London-based lender said Thursday it will deepen partnerships with development finance institutions and public sector entities to scale blended finance structures that combine concessional and commercial funding. The strategy is aimed at lowering risk for large projects while attracting private investors into sectors seen as critical for economic growth.
The announcement comes after Kenya secured more than $2.9 billion in investment commitments at the Kenya International Investment Conference this week, underscoring rising investor interest in East Africa’s largest economy. Manufacturing, healthcare and agribusiness were among the sectors drawing the most attention.
Standard Chartered said it plans to build on recent transactions, including a $100 million facility with British International Investment, a $70 million program with the International Finance Corp., and Safaricom Plc’s $130 million green bond, as it develops new financing structures.
“We want to transform how capital flows in Africa,” Birju Sanghrajka, the bank’s incoming Kenya chief executive officer, said at the conference. Blended finance can help “derisk large projects” and ensure funding reaches sectors that directly improve livelihoods, he said.
An increase in partnerships with development finance institutions is expected to improve access to long-term funding for Kenyan companies, enabling manufacturers to expand output, healthcare providers to invest in facilities and agribusinesses to modernize operations.
The broader economic impact could be significant. The Kenya Association of Manufacturers estimates the country has about $5.3 billion in untapped export potential in manufactured goods, suggesting room for expansion if competitiveness improves. Investments in healthcare and agriculture could also boost productivity, strengthen food security and raise rural incomes.
Such gains may add more than one percentage point to Kenya’s annual economic growth, according to projections linked to the conference.
Standard Chartered also highlighted Nairobi’s growing role as a regional financial hub, positioning the city as a base for structuring and deploying capital across East Africa. The bank said it intends to use Kenya as a launchpad for scaling sustainable finance models across the region, working with governments, DFIs and fintech firms to attract international investment.
Leave a comment