CRDB Bank signs MoU that boosts African investment in SMMEs
CRDB Bank signs MoU that boosts African investment in SMMEs
Tanzania-based CRDB Bank has signed a $75-million long-term financing facility with FMO, the Dutch Entrepreneurial Development Bank, which will run for about ten years.
At a signing ceremony hosted on the sidelines of the Africa Investor Forum on October 15, CRDB said that the facility enhanced CRDB’s Tier II capital base, which supported the bank’s growth and resilience and expanded its capacity to lend to small-, medium-sized and microenterprises (SMMEs), the segment that underpinned entrepreneurship, job creation and inclusive economic development.
CRDB explained that, for both institutions, the partnership advanced a shared aim of financial inclusion and business growth across Tanzania and the wider region. The facility also included support from the European Commission’s SMME platform guarantee, unlocking finance for this segment of society.
“We are pleased to partner with CRDB Bank on this significant transaction, which reflects our shared commitment to strengthening access to finance for entrepreneurs and businesses that drive economic growth and job creation.
“By enhancing CRDB’s Tier II capital base and leveraging the support of the European Commission’s SMME Platform Guarantee, this facility will help expand financing for SMMEs across Tanzania.
“We commend CRDB for its continued leadership in advancing financial inclusion and fostering sustainable, inclusive economic development in the region,” said FMO CEO Michael Jongeneel.
MONITORING TOOL
Additionally, CRDB Bank launched its Sustainable Development Impact Disclosure Framework.
The bank explained that it had applied the Impact Disclosure Guidance to its impact strategy, helping the bank to measure and monitor the anticipated and realised impacts of its operations and portfolio.
The guidance, which was published in October 2024 by the Impact Disclosure Taskforce co-chairs JP Morgan and Natixis is a voluntary standard for measuring and reporting development impact.
CRDB said its framework rested on three objectives: equal access to financial services, local economic development and job creation, and digital financial innovation. CRDB noted that it was the first Tanzanian issuer to adopt the Impact Disclosure Guidance.
“We would like to congratulate CRDB on this important milestone and the release of its Sustainable Development Disclosure.
“As the first Tanzanian entity to publish such a disclosure, the framework provides greater transparency around CRDB’s impact objectives, including how it intends to deliver and measure progress towards financial inclusion, job creation and gender equality,” said JP Morgan executive director and development impact advisory head Alexandra Barry.
OTHER AGREEMENTS
Shelter Afrique Development Bank has extended a $10-million facility to CRDB Bank Democratic Republic of Congo (DRC) to support affordable housing development and the construction value chain, and the two institutions marked the extension at the forum.
This realises the MoU the parties signed at the 2025 World Bank and IMF Annual Meetings in Washington DC, in the US, which also provided for advisory support from Shelter Afrique to CRDB’s housing finance team across the full housing value chain.
CRDB Bank also renewed its MoU with the African Export-Import Bank, building on the two institutions’ 2023 agreement and broadening the scope of their cooperation.
The renewed framework covers trade finance, syndication and structured financing, digital and payments platforms such as the Pan-African Payment and Settlement System, capital markets advisory, specialist insurance and capacity-building through staff training and secondments.
“The memorandum we signed in Washington last year set out an intention. This facility turned it into funding for CRDB Bank DRC, supporting affordable housing and the construction value chain around it. We were glad to see it move from paper to delivery,” said Shelter Afrique Development Bank MD and CEO Thierno-Habib Hann.
Recognising the government’s pivotal role in fostering an enabling policy and regulatory environment, aligning investment with national development priorities and facilitating capital flows, Tanzanian government leaders at the Africa Investor Forum underscored the importance of strong public-private partnerships in building investor confidence and unlocking sustainable economic opportunities.
Bank of Tanzania governor Emmanuel Tutuba emphasised the importance of financial-sector resilience in supporting investment and economic growth.
“A sound and resilient banking sector is essential to mobilising investment and financing economic growth.
“Tanzania’s banking sector continues to demonstrate resilience, supported by strong capital and liquidity positions and a non-performing loan ratio that remains within the regulatory threshold. This provides an important foundation for banks, investors and businesses to work together to finance productive opportunities,” Tutuba said.
