The government has announced a new loan programme targeting Micro, Small, and Medium Enterprises (MSMEs) through partnerships with licensed financial institutions.
In a public notice issued on Tuesday, June 3, 2025, the Kenya Development Corporation (KDC) said it is seeking to partner with licensed microfinance institutions, commercial banks, deposit-taking SACCOs, and non-withdrawable deposit-taking SACCOs to roll out the Supporting Access to Finance for Enterprise Recovery (SAFER) Fund.
“The KDC seeks to partner with regulated financial institutions to support viable MSMEs through the SAFER Fund,” the statement read.
The SAFER Fund aims to unlock access to affordable loans for MSMEs affected by the COVID-19 crisis and to support their long-term recovery and growth.
Financial institutions interested in applying for the fund must visit the KDC website at https://kdc.go.ke, click on the SAFER Portal, and download the mandatory requirements form. Applicants must accept the terms and conditions, fill in the required details, and upload all necessary documents in PDF format.
To qualify, institutions must disclose their proposed on-lending interest rate, have digital lending platforms, and demonstrate an existing MSME loan portfolio. They must also show the capacity to serve MSMEs, who are the fund’s main target.
The loan application process will be conducted entirely online and is set to begin on Wednesday, June 4, 2025.
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