East Africa Growth Holding
Status: Approved investmentWhy disclosure?
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In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
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 Group Plc is a banking group headquartered in Kenya, operating commercial banks in Kenya, Tanzania, Rwanda, Uganda, and Mauritius (through a Joint Venture). The Group provides several ancillary financial services such as insurance brokerage, financial advisory, and wealth management. I&M (Investments & Mortgages) was launched in Kenya in 1974 and converted into a commercial bank in 1996. The Group serves 600,000 clients and has a strong market reputation, especially in its flagship markets of Kenya and Rwanda. It currently has a loan portfolio of approximately USD 2.2 billion and deposits of USD 3.1 billion.
What is our funding objective?
I&M Group Plc has the ambition to achieve a higher market share in the retail and MSME segments with focus on under penetrated markets. The role of FMO will be to share its sectoral expertise and possibly catalyze new market entries. Furthermore, FMOs financing will be key to providing primary growth capital for the company's organic and external growth plans. Additionally, FMO can deepen its existing ESG engagements currently in place at the subsidiary level.
Why do we fund this investment?
The transaction is expected to result in: (i) improving access to finance for MSMEs and local corporates that play an important role in job creation and wider economic development, (ii) further supporting the Group digital transformation project, (iii) enable the Group to sustainably expand its reach to under-penetrated segments (e.g., MSMEs and agri-business).
What is the Environmental and Social categorization rationale?
The project has been categorized as E&S Category A, in accordance with FMO’s Sustainability Policy - as I&M Group is serving MSME clients and in high risk sectors. While the direct E&S risks to this type of business largely relate to labor conditions and health and safety, the indirect risks include the E&S impact of underlying SME clients to whom the I&M Group lends to. I&M Group has developed ESG policies and exclusion lists in alignment with national and international E&S safeguards to identify, manage, and monitor the environmental and social risks and opportunities in their lending operations.
- Website customer/investment
- https://www.imbankgroup.com/
- Region
- Africa
- Country
- Kenya
- Sector
- Financial Institutions
- Publication date
- 4/16/2025
- Effective date
- 12/20/2024
- Total FMO financing
- USD 10.00 MLN
- Funding
- FMO NV
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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) - A