The Commercial Bank of Africa (CBA) signed a credit line with the Agence Française de Dévelopement (AFD) valued at €10 million to finance green energy projects in Kenya. The ultimate goal of the program is to ensure affordable and accessible power.
The AFD issued the credit line to CBA to lend to businesses that wish to invest in renewable energy technologies projects (small hydro, biomass, biogas, solar, geothermal) as well as energy efficiency measures.
The Green Energy Line of Credit is one of the components of the large regional program called SUNREF (Sustainable Use of Natural Resources and Energy Finance) which also promotes financing of renewable energy and energy efficiency projects in East Africa through local banking system.
The AFD credit line is part of Phase II of the program and CBA is the second bank after Chase Bank to participate in the program which is expected to include a total of five enyan banks.
The AFD plans to develop this renewable financing model in Tanzania and Uganda also.