Lender linked to Kenya’s richest families commits $198 million for green financing

NCBA Group, a Nairobi-based financial services conglomerate partially owned by the Kenyatta family renowned as Kenya’s largest landowners, is taking significant strides towards sustainability by announcing a commitment to mobilize Ksh30 billion ($198 million) for green and sustainable financing by 2030.

This ambitious move aims to bolster the group’s sustainability initiatives across the East African region, with a key objective of planting 10 million trees by the end of the decade. The leading lender, partly owned by some of Kenya’s wealthiest individuals, recognizes the urgency of building resilience to climate change impacts within the communities it serves.

For NCBA Group, mobilizing $198 million represents a crucial initial step in reshaping the climate narrative for the benefit of communities. This bold investment aligns with the group’s broader commitment to environmental stewardship, as evidenced by the planting of more than 300,000 trees in various regions and institutions, facilitated by collaborative efforts with like-minded partners.

Kenya’s Kenyatta family owns a substantial 13.2-percent stake in NCBA Group

NCBA Group operates as a non-operating holding company with an extensive network of subsidiaries spanning multiple African nations, including Tanzania, Rwanda, Uganda, and Cote d’Ivoire. Established in 2019 through the merger of NIC Bank Group and Commercial Bank of Africa Group, the leading Kenyan banking group now boasts 109 branches across five countries.

The group is partially owned by some of Kenya’s most affluent families, including the Kenyatta, Merali, and Ndegwa families. Through the late patriarch’s estate, the Kenyatta family maintains a substantial 13.2-percent stake in NCBA Group, equivalent to 217,497,023 ordinary shares.

In addition to their stake in NCBA Group, the Kenyatta family’s vast land portfolio in Kenya spans over 500,000 acres, with a valuation that effortlessly soars into the hundreds of millions of dollars.

What they are saying

The tree-planting and growing campaign led by NCBA Group is one of the 15 ambitious commitments the financial conglomerate has pledged to execute. These commitments are in collaboration with strategic partners, encompassing both government entities and private sector stakeholders.

John Gachora, the managing director of NCBA Group, highlighted the company’s long-standing dedication to sustainability. “Sustainability is not a new concept to the NCBA Group; as a brand, we have always lived by the premise that our license to operate comes from the communities we operate in,” he stated.

Gachora emphasized the significance of the enhanced and bolder commitments, acknowledging climate change as a substantial and pressing challenge both globally and locally.