Status: Approved investment
Back to map

Why disclosure?

FMO is committed to making publicly available relevant investment information that informs stakeholders and enables them to engage directly with FMO on its investments which, in turn, enhances our investment decisions, the design and implementation of projects and policies, and strengthens development outcomes. Learn more

In case of questions

In case of questions, please contact us at


The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.

Who is our customer

I&M Bank Kenya is wholly owned subsidiary of I&M Holdings Limited, a publicly quoted company at the Nairobi Securities Exchange (NSE). The bank was founded in 1974 and evolved from a community financial institution to a publicly listed major regional commercial bank offering a full range of corporate, SME and retail banking services. I&M Bank has been a client of FMO since 2010 and has demonstrated consistent growth and stable performance over the years, growing its balance sheet from USD 0.9mln in 2010 to USD 2.7bln in 2021, whilst maintaining a strong CAR and good profitability.

What is our funding objective?

FMO will provide I&M Bank Kenya with a USD 15mln (in LCY equivalent) Nasira portfolio guarantee covering loans provided to Covid-19 affected micro and small enterprises (MSEs) in Kenya. The guarantee aims to support our client in increasing its lending and market share in the MSE segment. MSEs in Kenya, especially youth and women-owned, have limited access to external financing despite being a key driver of the Kenyan economy.

Why do we fund this investment?

I&M Bank Kenya is a strong and well-reputed bank in Kenya, and a long-standing client of FMO. Our proposed facility will deepen our relationship with I&M Bank by supporting the bank in achieving its strategy to increase access to finance to smaller enterprises in Kenya.

What is the Environmental and Social categorization rationale?

Environmental & social risk Category FI-A, based on the exposure I&M Bank has to large and long-term corporate loans, including project finance. Overall exposure to high E&S risk sectors (agriculture, mining & quarrying and energy & water) is approximately 4% whereas the project finance transactions mainly relate to manufacturing, construction and real estate property development. The activities in these sectors can potentially result in negative environmental and social impacts. I&M Bank has in place an environmental & social management system to manage these impacts. The Environmental and Social Action Plan that?s accompanying this transaction is geared towards increasing the bank?s environmental & social risk management capacity and enhancing the quality of the environmental and social due diligence as well as a functioning grievance mechanism.

More investments

Date Total FMO financing
6/29/2022 KES 1638.42 MLN
Financial Institutions
Effective date
Total FMO financing
KES 38.84 MLN
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)