SBM Bank Kenya has partnered with Safer Power Group in a move that will see the bank extend USD17 million in financing to support a green energy manufacturing workshop.
The facility will also support the construction of a new factory in a move positioned to strengthen local production of critical power infrastructure across the East African region.
Safer Power, a licensed panel builder for global energy technology leader Schneider Electric, will use the financing to scale up local manufacturing of specialized components that currently rely heavily on imports.
The equipment include switchboards, control panels, synchronization panels, distribution boards, meter boards, changeover systems and battery racks.
Go Green
According to market research firm IMARC Group, the region’s renewable energy market reached USD4.3 billion in 2025, and industry watchers expect it to expand further as regional industrialization accelerates demand for power infrastructure.
The International Renewable Energy Agency (IRENA) estimates that transitioning to clean energy and localizing green technology manufacturing could boost regional GDP by as up to 6.4 per cent and create thousands of specialized technical jobs in the process.
Climate Resilience
Speaking during the partnership announcement, SBM Bank Kenya Chief Risk Officer Edgar Mwandawiro termed the financing an economic necessity in the face of rising climate risk.
“Commercial enterprises face rising operational costs and escalating climate risks, access to targeted capital is no longer just an ESG obligation,” intimated Mwandawiro.
He added: “It is a necessary catalyst to unlock industrial resilience and energy sovereignty for our economy.”
Safer Power Chief Executive Officer Dalmus Mbai indicated that the significant investment addresses a financing gap that has long held back local green manufacturers.
“Local green energy manufacturers across East Africa face significant financial hurdles, from high upfront capital investments for specialized equipment to severe credit gaps and heavy reliance on expensive foreign supply chains,” said Mbai.
He added: “By localizing engineering, assembly, and green hydrogen technology, we can drastically reduce import dependency, create high-value technical jobs, and lower energy transition costs for industries across the region.”
Shift in Lending
The financing agreement is also a reflection of a wider strategic pivot at SBM Bank Kenya.
The bank’s net loan book grew by 18.3 per cent to reach Sh54.09 billion in the six months to June, driven by a deliberate move away from low-yielding government securities toward financing MSMEs and local businesses.
