KDC, World Bank boost MSME financing through SAFER Programme
GDC CEO Dr. Charles Kioko in conversation with KDC Director General Norah Ratemo at the WorldBank-KDC visit at GDC Sacco Headquarters
Githunguri, Kiambu County, March 2026 — The Kenya Development Corporation (KDC), in partnership with the World Bank and the National Treasury, is expanding access to affordable financing for Micro, Small and Medium Enterprises (MSMEs) through the Supporting Access to Finance and Enterprise Recovery (SAFER) Programme aimed at strengthening enterprise recovery and financial inclusion across the country.
The programme has supported more than 55,000 MSMEs across 38 counties, sustaining over 30,000 jobs while increasing access to credit for small businesses, including women- and youth-led enterprises.
Speaking during a high-level field visit to Githunguri Dairy Cooperative (GDC) Sacco Society Limited in Kiambu County, KDC Director General Norah Ratemo said the strong uptake of the financing facility demonstrates growing demand for affordable credit among small businesses and affirms the effectiveness of channeling development finance through well-governed local institutions.
“At KDC, our focus is to ensure that development finance translates into real impact by supporting entrepreneurs, strengthening key sectors of the economy, reinforcing agricultural value chains and expanding economic opportunities across counties,” she said.
Programme data shows women-owned enterprises account for 36 per cent of beneficiaries, while youth-led businesses represent 35 per cent, highlighting the initiative’s contribution to inclusive economic growth.
Through the SAFER Programme, KDC extended a Sh500 million facility to GDC Sacco to expand lending to MSMEs through digital and conventional platforms, enabling more than 15,000 members to access financing, many for the first time.
Women entrepreneurs account for 24 per cent of beneficiaries while youth represent 28 per cent, reflecting efforts to strengthen participation of women and young people in enterprise development and economic empowerment.
GDC Sacco, a Tier I deposit-taking institution licensed by the Sacco Societies Regulatory Authority, has emerged as a key financial intermediary under the programme, providing financial services to entrepreneurs, farmers and small businesses across Kiambu, Nairobi and Nakuru counties through its eleven branches.
GDC Sacco Chief Executive Officer Dr Charles Kioko said the institution has grown significantly since its establishment in 2003 as a dairy farmers’ SACCO, expanding its membership to approximately 79,000 customers drawn from agricultural value chains and small businesses.
“We continue to support farmers through innovative financing solutions, including allowing insured dairy cows to be used as collateral, improving access to credit for smallholder farmers,” he said.
Dr Kioko added that the SACCO has invested in digital lending platforms such as Kwamua Digital and Bonyeza loan products, enabling members to access quick and affordable credit through mobile technology.
During the visit, the delegation toured the Githunguri Dairy Cooperative processing facility and engaged MSME beneficiaries who reported business expansion, improved productivity and better household incomes following access to financing.
The SAFER Programme was established to support MSMEs recover from economic disruptions caused by the COVID-19 pandemic by expanding access to credit through regulated financial intermediaries, including commercial banks, microfinance institutions and Savings and Credit Cooperative Organisations (SACCOs).
The initiative aligns with the Government’s Bottom-Up Economic Transformation Agenda (BETA), which positions MSMEs at the centre of Kenya’s economic transformation. MSMEs contribute approximately 40 per cent of the country’s Gross Domestic Product and account for more than 80 per cent of employment nationwide.
The field visit brought together World Bank Vice President Ms Anke D’Angelo, Kenya Operations Manager Ms Anne Bakilana, SAFER Task Team Lead Ms Leah Kiwara, FCI Lead Isfandyar Zaman Khan, KDC Chairman Dr Sakwa Bunyasi, officials from the National Treasury Project Implementation Unit, and GDC Sacco leadership led by Chief Executive Officer Dr Charles Kioko to assess the programme’s impact on enterprise recovery and livelihoods
