This archive report was first published on 15 June 2021.
Published on June 15, 2021, the International Finance Corporation (IFC) is set to provide a $50 million (KSh5.4 billion) loan to Equity BCDC, a subsidiary of Equity Group Holdings, to finance cash-starved small and medium-sized enterprises in the Democratic Republic of Congo.
Access to capital is a significant challenge for small and medium-sized enterprises in the DRC. With 74 branches across the country, Equity BCDC aims to use the IFC loan to support small businesses in funding their operations and expansion in the aftermath of the pandemic.
The IFC, the private sector arm of the World Bank, aims to boost economic activity and build resilience in the low-income nation. The institution plans to issue a 3-year loan in local currency to support micro, small and medium enterprises (MSMEs), women-owned businesses, climate-related projects, and housing finance.
Equity BCDC emerged from the merger between Equity Bank Congo and Banque Commerciale Du Congo, finalized in December 2020. As the second-largest bank in the DRC, with a balance sheet worth $2.9 billion, Equity BCDC is 75.5% owned by the Equity Group and 15% owned by the government of the Democratic Republic of Congo.
