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KCB Disburses KShs. 48.8 Billion in Green Loans
Advertisement KCB Disburses KShs. 48.8 Billion in Green Loans, Surpasses Sustainable Finance TargetKCB Group Plc disbursed KShs. 48.8 billion in green financing loans in 2025, strengthening its commitment to sustainable development and climate action across East Africa.The funding supported projects in renewable energy, sustainable agriculture, green buildings, clean transportation, water management and other climate-smart investments. Of the total amount, KShs. 9.9 billion qualified as climate-eligible financing after independent verification using the Climate Assessment for Financial Institutions (CAFI) tool.The lender also screened KShs. 587.9 billion worth of transactions under its Environmental and Social Due Diligence framework across Kenya, Uganda, Tanzania and Rwanda.As a result, KCB surpassed its strategic target of allocating 25 percent of its lending portfolio to green projects. The ratio rose to 25.84 percent in 2025, up from 21.6 percent in 2024.The achievements are highlighted in the lenders 2025 Sustainability Report themed Transitioning Economies, which outlines KCBs efforts to drive climate resilience, financial inclusion and sustainable economic growth.Driving Climate-Smart FinancingKCB Group CEO Paul Russo said the bank continues to align its financing decisions with climate resilience and sustainable development goals.According to Russo, the Group aims to strengthen East Africas sustainable finance ecosystem by supporting businesses and households as they transition to greener practices.KCB seeks to be a bigger player in shaping a robust and sustainable financial ecosystem throughout East Africa by continuously developing tailored green financing solutions for MSMEs, households and corporates, said Russo.He added that the bank will deepen partnerships with global climate financiers, expand product innovation and mobilize more capital to support climate action across the region.KCB Disburses KShs. 48.8 Billion in Green Loans, Surpasses Sustainable Finance TargetScaling Environmental ConservationBeyond financing, KCB expanded its environmental conservation initiatives through its tree-growing programme.The Group exceeded its 2025 target of planting 1.5 million trees by planting more than 3.5 million trees during the year.The achievement resulted from more than 200 tree-planting activities conducted across the region in partnership with 1,778 schools and other stakeholders.The programme supports Kenyas national climate action agenda while contributing to ecosystem restoration efforts.Supporting Clean Energy in SchoolsKCB also accelerated clean energy adoption in learning institutions through its Learning Institutions Customer Value Proposition programme.The bank financed 266 schools to transition to cleaner cooking technologies. It provided KShs. 782.5 million to support the initiative.The programme helps schools reduce reliance on traditional biomass fuels while lowering environmental impact and operational costs.At the same time, KCB expanded its solar energy programme across its branch network.Solar systems are now operational in 16 branches, including Maasai Mara, Wajir, Mandera, Watamu, Lamu, Loitoktok, Kakuma and Namanga, as well as the Karen Leadership Centre.The Group plans to install solar power systems in 30 additional branches this year.Consequently, KCB recorded a two percent reduction in fuel and electricity consumption. The improvements contributed to an overall 13 percent reduction in carbon emissions across the Group.Through KCB Foundation programmes, the Group supported more than 265,300 jobs during the year.Additionally, 16,549 young people benefited from workforce readiness and skills development programmes aimed at improving employability and entrepreneurship.The lender also supported 38,635 youth-led enterprises through the 2Jiajiri Young Africa Works programme.Overall, KCB has supported 67,090 businesses through initiatives designed to drive inclusive economic growth and create opportunities across communities.Expanding Support for Women EntrepreneursKCB continued to strengthen its support for women-owned enterprises through the Female-Led and Made Enterprise (FLME) programme.During the year, the bank disbursed KShs. 149 billion to women-led businesses.The programme forms part of KCBs five-year commitment to unlock KShs. 250 billion in financing for women entrepreneurs and enterprises.The lender believes increasing access to finance for women-owned businesses will accelerate economic participation, business growth and job creation.KCB also expanded access to financial services for refugees and underserved communities.The bank enabled 20,299 refugees to access formal banking services by leveraging identification documents issued by the United Nations High Commissioner for Refugees (UNHCR).In addition, KCB disbursed KShs. 71.4 million in loans to refugee entrepreneurs, helping them establish and grow businesses.The initiative aims to promote economic inclusion while supporting livelihoods within refugee and host communities.Strengthening Sustainability ReportingThe 2025 Sustainability Report marks KCBs third sustainability report to undergo a limited assurance review.The report references the IFRS S1 and IFRS S2 sustainability disclosure standards and was published alongside the Groups 2025 Integrated Report.By adopting the standards ahead of the mandatory 2027 reporting deadline, KCB continues to position itself among the regions leading institutions in sustainability reporting and responsible banking.The latest results demonstrate how sustainability has become central to KCBs business strategy, with the Group increasingly using finance as a tool to support climate action, inclusive growth and long-term economic transformation across East Africa.The post KCB Disburses KShs. 48.8 Billion in Green Loans appeared first on Africa Business News.
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