SBM Bank Kenya and Safer Power Group have signed a landmark Ksh. 2.1 billion (USD 17 million) financing deal to support the development of a green energy manufacturing workshop and factory in Kenya.

Under the agreement, Safer Power, a licensed panel builder for global energy technology company Schneider Electric, will expand local production of critical power infrastructure. The output will include specialized switchboards, control panels, synchronization panels, distribution boards, meter boards, changeover systems, and battery racks.

The investment arrives during a period of rapid growth for East Africa’s clean energy sector. According to market research firm IMARC Group, the regional renewable energy market reached USD 4.3 billion in 2025, driven by expanding regional industrialization. Furthermore, data from the International Renewable Energy Agency (IRENA) highlights that transitioning to clean energy and localizing green tech manufacturing could elevate regional GDP by up to 6.4% while creating thousands of technical jobs.

“Commercial enterprises face rising operational costs and escalating climate risks; access to targeted capital is no longer just an ESG obligation,” said Edgar Mwandawiro, Chief Risk Officer at SBM Bank Kenya. “It is a necessary catalyst to unlock industrial resilience and energy sovereignty for our economy.”

The initiative aims to address structural supply chain challenges that have traditionally hampered regional clean energy adoption.

“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,” noted Dalmus Mbai, CEO of Safer Power Ltd. “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.”

The financing aligns with SBM Bank Kenya’s broader strategy to reallocate capital into high-impact sectors. By June 2026, the bank’s net loan book grew 18.3% year-on-year to reach Ksh. 54.09 billion, exceeding Ksh. 50 billion for the first time. The shift reflects a strategic transition away from low-yielding government securities toward actively funding micro, small, and medium enterprises (MSMEs) and local businesses.