NCBA Arranges KES 3bn KMRC Green Bond, Disburses KES 190m in Green Financing
NCBA Group is stepping up its sustainable finance activity, acting as lead arranger for a KES 3 billion green bond issued by the Kenya Mortgage Refinance Company (KMRC) and disbursing KES 190 million in direct green financing during the first quarter ended March 2026.
The bank also participated in the KES 4.8 billion Two Rivers International Finance and Innovation Centre Green Income REIT transaction, one of the more significant ESG-linked real estate instruments to come to market in Kenya in recent months.
The transactions signal a deliberate push by NCBA to embed sustainability into its capital markets and lending operations, rather than treat green finance as a peripheral activity.
The KMRC green bond, for which NCBA served as lead arranger, channels long-term capital into affordable housing, a sector the Kenyan government has identified as a national development priority. Green bonds tied to housing finance are increasingly being used across emerging markets to mobilise institutional capital toward climate-resilient, energy-efficient construction.
The Two Rivers Green Income REIT participation adds another dimension, linking commercial real estate investment to measurable environmental standards. REITs structured around green income criteria are relatively nascent in East Africa, and the KES 4.8 billion deal marks a notable data point for the market’s development.
Beyond capital markets, NCBA’s KES 190 million in green financing disbursements during the quarter points to growing demand at the project and enterprise level for climate-linked credit.
NCBA’s overall balance sheet grew 13% to KES 741 billion in the quarter, providing a larger base from which to scale green and sustainable finance commitments going forward.
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