Stanbic Bank Kenya, part of the Standard Bank Group, has launched an upgraded Renewable Energy Proposition designed to speed up Kenya’s move toward clean, dependable energy and bolster the nation’s sustainable economic development.
During a Memorandum of Understanding (MoU) signing with Safer Power Limited, a prominent Engineering, Procurement, and Construction (EPC) firm in renewable energy, the Bank reinforced its dedication to promoting sustainable finance and broadening access to cost-effective renewable energy solutions for businesses and households across Kenya.
At the signing ceremony, Ms Florence Wanja, Regional Head, East Africa, Business and Commercial Banking at Stanbic Bank, stated: “Renewable energy stands as a strategic priority for Stanbic Bank, aligned with our purpose: ‘Kenya is our home, we drive her growth.’ We understand that accessible and sustainable power is fundamental to Kenya’s economic advancement. Our collaboration with Safer Power reflects our joint commitment to facilitating clean energy access through innovative financing, advisory support, and partnerships with reputable industry players.”
“We have restructured our renewable energy offering to provide clients with greater flexibility, affordability, and clean energy access. With loan terms extending up to ten years, financing covering up to 100% of project costs, and a grace period on principal repayments during project development, we’re removing barriers to solar energy adoption for businesses and individuals,” Ms Wanja added.
Current data from the Kenya Institute for Public Policy Research and Analysis (KIPPRA) and the International Energy Agency (IEA) indicates that Kenya’s installed solar capacity exceeded 229 megawatts by mid-2024, with annual growth rates projected to surpass 28% through 2027. Solar energy continues to be among the country’s most viable renewable resources and a critical component of achieving universal electricity access by 2030.
The upgraded Renewable Energy Proposition features streamlined credit evaluation for SMEs and smaller installations under USD 50,000 (roughly KES 6.5 million), requiring only account turnover records rather than comprehensive financial statements. Furthermore, no supplementary collateral is needed for qualified clients, and documentation processes have been simplified to expedite financing access.
Stanbic Bank’s approved EPC partners will conduct complimentary energy audits to assess client energy needs and determine optimal solar system specifications, ensuring each installation operates at peak efficiency. Solar components, including panels, batteries, and inverters, will be procured exclusively from Tier 1 manufacturers, guaranteeing superior quality and dependability.
The Bank has also rolled out reduced interest rates and zero processing fees for SME renewable energy loan facilities, offering financial relief for clients navigating the current economic landscape.
Speaking about the partnership, Dalmus Mbai, Group CEO of Safer Power Limited, remarked: “Our alliance with Stanbic Bank Kenya strengthens our capacity to provide clean and affordable energy solutions to businesses and households throughout Kenya. Together, we’re propelling Kenya’s renewable energy transformation by merging innovative technology with accessible and flexible financing options.”
The Safer Power partnership represents a component of Stanbic Bank’s comprehensive strategy to deliver integrated financial and technical solutions supporting Kenya’s national sustainability objectives, enabling clients to embrace renewable energy, and reinforcing the country’s resilience and energy self-sufficiency.
Key Features of Stanbic Bank’s Enhanced Renewable Energy Proposition:
- Loan terms up to 10 years for improved affordability
- Financing up to 100% for qualifying renewable energy projects
- Grace period on principal repayments during development stages
- Streamlined turnover-based lending for SMEs and installations under USD 50,000 (approximately KES 6.5 million)
- No supplementary collateral requirements for eligible clients
- Access to vetted Solar EPC providers
- Complimentary energy audits from accredited EPC partners
- Competitive interest rates
“Through our competitive and adaptable renewable energy financing, we seek to accelerate solar uptake and advance Kenya’s vision of universal electrification,” Ms Wanja concluded.
Stanbic’s Business and Commercial Clients also gain access to Standard Bank’s Sustainability Academy: an extensive learning platform created to address the sustainability knowledge gap and equip business clients across the continent with actionable sustainability and Environmental, Social, and Governance (ESG) solutions. The academy provides businesses with practical knowledge and training across essential sustainability domains, including sustainability and ESG fundamentals; renewable energy alternatives across sectors; cost and production advantages of climate-smart agriculture; water and wastewater management solutions; and carbon markets.