IFC backs Platcorp with $52 million MSME funding to expand lending in East Africa

International Finance Corporation (IFC) is structuring a financing package of up to $52 million for Platcorp Holdings Ltd, a Mauritius-based microfinance investment management company, to expand lending to micro, small, and medium-sized enterprises (MSMEs) across Kenya, Uganda, and Tanzania.

The package includes up to $27 million for IFC’s own account and up to $25 million in mobilised funding through B loans and parallel loans for Platcorp’s subsidiaries in Kenya and Uganda.

Expanding access to finance
Structured as five four-year senior loans with a one-year grace period, the facilities will be extended to five Platcorp subsidiaries, $20 million for two entities in Kenya, $5 million for two in Uganda and $2 million for one in Tanzania.

The proceeds are designed to strengthen liquidity and support Platcorp’s lending strategy, with a focus on expanding access to finance for MSMEs. Notably, the program targets 50% of lending toward women-owned MSMEs, reinforcing gender inclusion in access to credit.

Subject to approval, the project will be included under IFC’s Financial Institutions Group (FIG) MSME Finance Platform, supported by a pooled first-loss guarantee of up to $40 million provided by the International Development Association’s IDA20 Private Sector Window Blended Finance Facility. The concessional structure is intended to mitigate risk in frontier markets where traditional commercial financing remains constrained.

Strengthening institutional capacity
In parallel, Platcorp is participating in an IFC advisory program focused on ESG integration and reporting, with Responsible Finance Certification proposed as part of the engagement. The initiative aims to enhance governance standards and sustainability practices across the group.

Founded in 2003, Platcorp manages more than $358 million in assets and operates 20 microfinance institutions across Kenya, Uganda, Tanzania, Zambia, the Democratic Republic of Congo, Barbados and Saint Lucia. The group runs 568 branches and employs about 10,000 staff, serving over one million active customers through a high-touch, branch-based lending model.

Catalyzing inclusive growth
IFC’s blended finance support underscores the strategic role of development capital in unlocking funding for underserved businesses.

By combining senior loans with first-loss guarantees, the platform seeks to catalyze private investment while expanding credit access for small enterprises, particularly women-led businesses, across East Africa.