The German Investment and Development Company (DEG), a subsidiary of KfW, is providing CRDB Bank a new USD 50 million loan to finance small businesses, women, and youth in rural Tanzania. The package includes an EU guarantee of USD 10 million under the European Fund for Sustainable Development Plus.
The financing package consists of two tranches of USD 25 million each, with USD 10 million secured by a guarantee through the European Union’s European Fund for Sustainable Development Plus (EFSD+).
The financing is designed to support job creation, innovation, and local income generation, contributing to the achievement of the United Nations Sustainable Development Goals. Monika Beck, member of the Management Board of DEG, commented: “CRDB Bank is a long-standing customer of DEG. The current investment makes a vital contribution to the local economy and supports underserved rural businesses. The use of the EU guarantee helps to mobilise investments that are particularly important in terms of their development impact, as they create jobs, increase local incomes and contribute to economic growth on the ground.”
Abdulmajid Nsekela, Chief Executive Officer of CRDB Bank, added: “At CRDB Bank, we believe that empowering women and youth is a strategic investment in the future of our nation and the region. Through our partnership with DEG and the support of the EU guarantee, we are scaling up our efforts to provide inclusive financial solutions that unlock potential, nurture innovation, and drive sustainable growth. When we finance a dream, we do more than fund a business–we uplift families, transform communities, and build a resilient economy for generations to come.”
Read more at: https://www.tanzaniainvest.com/finance/banking/deg-germany-loan-crdb-smes
