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IFC lines up Sh5.89bn loan for Kenyan fintech lender
Lendable is an asset management firm established in 2014 and is focused on providing financing to fintechs operating in emerging markets and developing economies.
The International Finance Corporation (IFC) has lined up a $45.6 million (Sh5.89 billion) loan to boost a fund by Lendable Inc., a company that provides capital to alternative digital financial service providers in emerging and frontier markets.
The IFC said that the proposed funding will be in the form of a senior unsecured loan to Lendable micro small and medium enterprise (MSME) Fintech Credit Fund II (LMFCF II or the Fund), a close-ended fund by Lendable Inc.
“IFC proposes to invest up to $45.6 million in the catalytic debt tranche of LMFCF II, which will be on-lent to MSMEs and low-income households through fintechs in Africa, Asia, and Latin America,” the World Bank private sector lending arm said in a disclosure pending approval by its board on June 30,2025.
“The proceeds of the IFC investment will be used to finance fintechs in Africa, Asia, and Latin America that primarily serve individuals, Micro, Small, and Medium Enterprises (MSMEs), including women-owned MSMEs (WMSMEs), and the broader digital business ecosystem” IFC added.
The IFC said that the project may be supported by the Women's Entrepreneur Finance Initiative (We-Fi) in the form of a $4.4 million (Sh569.22 million) co-investment with interest and payment subordination to IFC.
“The fund will be established for seven years, including a five-year investment period and a two-year repayment period,” the IFC said.
We-Fi is an initiative that supports women entrepreneurs by scaling up access to financial products and services, building capacity, expanding networks, offering mentors, and providing opportunities to link with domestic and global markets.
We-Fi is a collaborative partnership among 14 governments, eight multilateral development banks (MDBs), and other public and private sector stakeholders, hosted by the World Bank Group.
The founding financial contributors in We-Fi are: Australia, Canada, China, Denmark, Germany, Japan, the Netherlands, Norway, the Russian Federation, Saudi Arabia, the Republic of Korea, the United Arab Emirates, the United Kingdom, and the United States. These governments have committed $355 million (Sh45.92 billion) to date.
Lendable is an asset management firm established in 2014 and is focused on providing financing to fintechs operating in emerging markets and developing economies, to enhance financial inclusion and create job opportunities.
As of the end of December 2024, Lendable had invested $576 million (Sh74.51 billion) through four funds spanning 18 countries across Africa, Asia, and Latin America, with principal write-offs amounting to only 2.3 percent as of December 2024.
As of the end of December 2024, Lendable had $356 million (Sh46.05 billion) in assets under management.
