SMEP Microfinance Bank

What SMEP Microfinance Bank does

SMEP Microfinance Bank Limited is a Nairobi-headquartered, CBK-regulated microfinance bank operating 38 outlets (20 branches and 18 marketing units) across Kenya, serving over 38,000 borrowers with a loan portfolio exceeding $14 million at end-2022. Founded in 1975 as the relief arm of the National Council of Churches of Kenya (NCCK), rebranded in 2008, and awarded a deposit-taking license in 2010, SMEP functions as the financial services arm of a faith-rooted community. The bank offers a full-stack product suite: loans (chama, consumer, asset finance, logbook, check-off, SME, agri-business, church loans, Cash Kash quick mobile loans up to Ksh 20,000), savings and current accounts (Msingi Imara, Nyota Njema, Chariot, King Solomon, Queen Hadassah, Biashara), fixed deposits and call accounts (up to 10% p.a.), a mobile wallet (Cash Kash), a 52-Week Saving Challenge, trade finance (bid bonds, performance guarantees), and bancassurance products (motor, property, agriculture, life, and health including Chunga Mchungaji individual and group medical covers via SMEP Bancassurance Intermediary).

The platform runs on a proprietary Inclusive Banking Suite called Ushika Fanisi (upgraded 2019) with USSD (*635#) and Cash Kash mobile channels, plus integrations into M-PESA (Paybill 777001), PesaLink, VISA, MoneyGram, Western Union, and the Coop Bank Agency and ATM network. Distribution combines physical branches, marketing units, an agency network, and these digital rails. The bank employs 101-250 staff and serves multiple customer segments: chamas and self-help groups, NCCK churches (30+ denominations), SMEs, salaried employees, clergy, children (under 18), and unbanked individuals in peri-urban and rural Kenya.

Revenue is generated primarily through interest income on the diversified loan book, complemented by fees on digital transactions, bancassurance commissions via its SMEP Bancassurance Intermediary subsidiary, net interest margin on deposits and fixed deposits, and trade finance commissions. Following HOPE International's October 2023 acquisition of a 51% controlling stake (CBK-approved), the bank has been positioning for portfolio and branch growth, accompanied by senior leadership turnover including a new CEO appointed May 2026 and a new Head of Finance appointed December 2025.

Name

SMEP Microfinance Bank

Legal name

SMEP Microfinance Bank Limited

Website

https://smep.co.ke

Company type

Private

Founded year

1975

Operating status

Operating

Headcount range

101–250 employees

Short description

SMEP Microfinance Bank is a Nairobi-based, Central Bank of Kenya regulated microfinance bank operating 38 branches across Kenya and serving over 38,000 borrowers with loans, savings, insurance, trade finance, and mobile wallet products, primarily targeting chamas, churches, SMEs, and underserved communities via NCCK-rooted community networks.

Ownership category

akta.pro rank

Product category

Microfinance Banking

NAICS

Commercial Banking (522110), Savings Institutions and Other Depository Credit Intermediation (52218)

SIC

Functions Related To Depository Banking, Nec (6099), Finance Services (6199)

akta.pro primary industry

General SME & Middle-Market Commercial Banking (FSABABAA)

akta.pro secondary industries

SME Business Lending (Term Loans, Lines of Credit, Overdrafts) (FSABABAB), Microloans & Working Capital Loans (FSAKAGAA), SME Sector/Specialty Banking (Vertical-focused: Healthcare, Agri, Tech, etc.) (FSABABAI)

Keywords

• Microfinance banking
• Savings accounts
• Small business loans
• Mobile banking
• Church banking

Headquarters

HQ city

Nairobi

HQ country

Kenya

HQ region

Africa

Offices39 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Infrastructure, Marketing or Sales, Supply Chain

Revenue model

1. Loan Interest Income: Primary revenue stream from interest charged on various loan products including chama loans, consumer loans, asset finance, logbook loans, check-off loans, church loans, SME loans, agri-business loans, and Cash Kash quick loans. Interest rates vary by product type and risk profile.
2. Bancassurance Intermediary: SMEP Bancassurance Intermediary subsidiary earns commission from selling insurance products including motor, property, agriculture, life, and health insurance. Insurance products include Chunga Mchungaji (KES 8,200 annual premium) and Chunga Mchungaji Plus group medical cover.
3. Digital Transaction Fees: Fees from mobile banking, internet banking, PesaLink transfers, ATM withdrawals, and other digital transaction channels. Revenue from M-PESA deposits/withdrawals and agency banking services.
4. Deposit-taking and Investment Products: Interest earned on deposits (savings accounts, fixed deposits up to 10% p.a., call accounts) and fees from investment products like fixed deposit accounts and call accounts.
5. Trade Finance Services: Fees and commissions from trade finance products including bid bonds, performance guarantees, and advance payment guarantees for contractors and suppliers.

Pricing tiers

Go-to-market motion3 records

Distribution channels8 records

Marketing channels8 records

Core offering

SMEP Microfinance Bank is a Kenyan deposit-taking microfinance bank providing retail banking, lending, savings, mobile wallet, trade finance, and bancassurance products to underserved families, micro-enterprises, SMEs, chamas (informal savings groups), and church institutions. The bank operates 38 outlets across Kenya, complemented by USSD (*635#), Cash Kash mobile app, internet banking, M-PESA, PesaLink, VISA, and agent network distribution channels, with a Christ-centered culture that integrates spiritual programs into its financial offerings.

Product overview

SMEP Microfinance Bank offers a comprehensive suite of financial products and services through a platform-plus-branches architecture. The core offerings span loan products (Chama Loan, Consumer Loan, Asset Finance, Insurance Premium Financing, Agri-Business Enterprise Loans, Check-Off Loans, Logbook Loans, Cash Kash Loans, Group Loans, Church Loans, MOU Loans), savings accounts (Msingi Imara Account for children, Nyota Njema locked account, Fixed Deposit Account, Call Account), current accounts (Chariot Account for churches, King Solomon Account, Queen Hadassah Account, Hazina Plus Account, Biashara Current Account for SMEs), mobile wallet (Cash Kash with loans, savings, bills payment, PESALink), savings challenge (52-Week Saving Challenge), trade finance (Bid Bonds, Performance Bonds/Guarantees, Advance Payment Guarantees), and bancassurance products (Motor, Property, Agriculture, Life, and Health Insurance including Chunga Mchungaji and Chunga Mchungaji Plus). The bank operates 38 outlets across Kenya, offering digital channels including internet banking, mobile banking via USSD (*635#) and Cash Kash app, VISA ATM cards, and agency banking through M-PESA, MoneyGram, Western Union, and Coop Bank Agency.

Differentiator

Problem solved

Functional benefit

Products and services

• Chama Loan Loan product for organized chamas (informal savings groups) offering up to 7 times the chama's savings with flexible repayment periods and competitive interest rates; targeted at self-help groups seeking group-based credit.
• Consumer Loan Individual loans requiring ability to repay and guaranteed through security or guarantors; targeted at individual borrowers for personal financing needs.
• Asset Finance Financing for customers to acquire durable assets such as motor vehicles and machinery, with bank financing covering up to 70% of total cost; targeted at individuals and businesses needing asset acquisition funding.
• Insurance Premium Financing (IPF) Financing solution for insurance premium payments where the bank finances annual premiums and the borrower repays monthly installments; minimum loan size Ksh 5,000, period up to 10 months, available to Kenyan citizens aged 18-70 years.
• Agri-Business Enterprise Loans Loans for individuals engaged in agribusiness activities from farm to fork; targeted at farmers and agri-entrepreneurs along the agricultural value chain.
• Check-Off Loan Loans for salaried employees with attractive interest rates, flexible repayment, and fast approval, backed by employer Memoranda of Understanding with check-off repayment; buy-off of up to two existing loans available.
• Logbook Loans Business and emergency loans up to Ksh 1,000,000 secured against vehicle logbooks with flexible repayment period up to 12 months and 24-hour processing.
• Cash Kash Loans Quick loans for active SMEP customers up to Ksh 20,000 with repayment period up to one month and immediate processing via the Cash Kash app or *635# USSD.
• Group Loans Loan advances to individual members within organized groups, with members eligible for up to 5 times their savings through co-guarantee mechanisms.
• Church Loans Loans for church institutions, clergy, and church workers with cheque book and PayBill number options for fund collection; tailored to religious organizations under SMEP's NCCK-linked church banking model.
• MOU Loans Memorandum of Understanding loans for institutional borrowers operating under MOUs with SMEP.
• Msingi Imara Account Children's savings account for those under 18 years, operated by parent or guardian; earns 4% p.a. interest, up to three free withdrawals per year, free banker's cheque and internal standing order, with education loan access and piggy bank savings incentives.
• Nyota Njema Account Locked savings account earning 7% interest paid annually, with money available upon term expiry along with accrued interest; mobile balance checks only and over-the-counter withdrawals.
• Fixed Deposit Account Investment account with minimum Ksh 5,000 and minimum 3-month period, with competitive interest rates up to 10% p.a. and borrowing allowed against fixed deposits.
• Call Account Short-term investment medium with minimum Ksh 5,000 and 1-month minimum period, allowing premature withdrawal.
• Chariot Account Current account for church institutions with unlimited withdrawals, Lipa na M-PESA Paybill number for fund collection, and packaged with church development loans; targeted at NCCK-affiliated and broader church clients.
• King Solomon Account Current account for men above 18 years offering M-PESA banking convenience, mobile banking, ATM card, and cheque book on application.
• Queen Hadassah Account Current account for women above 18 years.
• Hazina Plus Account Transactional account for salaried persons with mobile banking and ATM card on application.
• Biashara Current Account SME transactional account for daily business transactions with cheque book, financing access, and free monthly statements; targeted at small and medium businesses.
• Cash Kash Mobile Wallet Mobile wallet application providing quick loans, 52-week savings challenge, bill payments (KPLC, Nairobi Water, GoTv, DSTV, StarTimes, ZUKU TV), airtime purchase, PesaLink transfers, wallet accounts, and M-PESA deposits/withdrawals; available on Google Play Store.
• 52-Week Saving Challenge Structured savings program cultivating saving culture with tiered options (Ksh 25/50/100 weekly) accumulating to Ksh 34,450/68,900/137,800 over 52 weeks with 7% interest at end of challenge; deposits via M-PESA Paybill 777001.
• Bid Bonds Surety bonds protecting contractors from changing orders in tender and bid processes; targeted at contractors and suppliers.
• Performance Bonds/Guarantees Irrevocable undertakings guaranteeing satisfactory performance per contractual obligations; targeted at contractors and suppliers.
• Advance Payments Guarantees Guarantees securing procuring entities against default by advance payment beneficiaries for contractor mobilization; targeted at contractors and suppliers.
• Chunga Mchungaji Medical Cover Individual health insurance cover for SMEP members providing Ksh 500,000 inpatient cover, Ksh 40,000 maternity cover, Ksh 100,000 last expense cover, and Ksh 100,000 accidental death cover at an annual premium of KES 8,200; provides access to 400+ hospitals.
• Chunga Mchungaji Plus Group medical insurance product for groups of minimum 10 members offering inpatient and outpatient medical cover with benefit options of Ksh 200,000, 300,000, or 500,000 inpatient, plus maternity, chronic and pre-existing, outpatient, and optional optical benefits.
• Motor Insurance Comprehensive and third-party motor vehicle insurance covering private, commercial, Boda Boda, self-drive, PSV, taxi, and tour vehicles; sold through SMEP Bancassurance Intermediary.
• Property Insurance Property coverage including fire and special perils, business interruption, all-risk insurance, money insurance, machinery breakdown, and political violence/terrorism coverage; sold through SMEP Bancassurance Intermediary.
• Agriculture Insurance Agricultural coverage for livestock (dairy, beef, poultry, piggery) and crop insurance protecting against natural disasters; sold through SMEP Bancassurance Intermediary.
• Life Insurance Life insurance products including term life, whole life, personal accident, last expense, group credit life, and education policies; sold through SMEP Bancassurance Intermediary.
• Health Insurance Health coverage provided through Chunga Mchungaji and Chunga Mchungaji Plus medical covers with inpatient and outpatient benefits; access to 400+ hospitals across Kenya.

Quantifiable outcome

• 38 service branches serving 38,000+ borrowers with loan portfolio over $14 million (2022)
• +3 more outcomes

Named customers3 records

Segments8 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration7 records

Feature4 records

Partnerships

Three partnerships are on record, tiered core and minor.

• Jumuisha LimitedcoreTechnology or IntegrationFintech partnership with Jumuisha Limited (jumuisha.com) enabling churches to receive contributions, manage payments, and host events. During COVID-19, hundreds of churches used Jumuisha for cashless services. SMEP provides bank accounts, digital transactional channels, credit access, insurance, and financial services. Partnership extends SMEP's footprint in the religious space and builds innovative solutions for the market. Jumuisha developed collections and payments platform for churches and NGOs.
• National Council of Churches of Kenya (NCCK)coreOthersNCCK is the founding organization of SMEP - SMEP started as the relief arm of NCCK in 1975. NCCK remains a significant shareholder after HOPE International's 51% stake acquisition. NCCK is SMEP's greatest stakeholder. SMEP serves 30+ denominations under NCCK. Rev. Canon Chris Kinyanjui, General Secretary of NCCK, serves as Non-Executive Director on SMEP Board.
• AMFI (Association of Microfinance Institutions of Kenya)minorOthersSMEP is a member of AMFI (Association of Microfinance Institutions of Kenya). CEO Bernard Kivava is a member of AMFI. AMFI is the industry body representing microfinance institutions in Kenya.

Scale indicators8 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• Faulu Microfinance Bank Kenya: One of Kenya's largest licensed microfinance banks, offering deposit-taking, lending, and bancassurance to SMEs and individuals. Directly comparable to SMEP as both are regulated Kenyan MFIs with similar target segments and product sets; Faulu's larger balance sheet represents both competition and a benchmark for SMEP's growth trajectory.
• Kenya Women Microfinance Bank (KWFT): One of the earliest deposit-taking microfinance banks in Kenya, focused on women entrepreneurs and micro-enterprises. Comparable business model, regulatory category, and customer base to SMEP, with stronger brand recognition among women-focused MFIs.
• Rafiki Microfinance Bank: Kenyan licensed microfinance bank offering savings, loans, and digital banking to SMEs and individuals. Operates in a similar niche to SMEP with comparable deposit-taking license and target market.
• Juhudi Kilimo: Kenyan agri-business microfinance institution serving smallholder farmers and SMEs with asset financing and group lending. Highly comparable as a Kenya-focused MFI; the new SMEP CEO Bernard Kivava was formerly Juhudi's CEO, illustrating direct operational overlap.

Broad incumbents

• Equity Bank Kenya: Kenya's largest bank by customer base with deep financial inclusion roots (founded as Equity Building Society). Offers extensive microfinance, SME, and mobile banking (Equitel) services that overlap heavily with SMEP's value proposition but at vastly larger scale.
• Co-operative Bank of Kenya: Major Kenyan commercial bank with strong SACCO and microfinance relationships. SMEP has a commercial partnership with Co-op for VISA ATM access and agency banking, and Co-op represents both a partner and a large incumbent competitor in the SME/microfinance segment.

Regional players

• Letshego Africa: Pan-African inclusive finance group operating in multiple African markets with deposit-taking microfinance subsidiaries. The new SMEP CEO led Letshego Rwanda, creating direct operational comparability and representing both a regional benchmark and a potential cross-border competitor.
• Centenary Bank Uganda: Ugandan microfinance-focused commercial bank with strong church and SME banking heritage. Comparable faith-inclusive business model and SME/microfinance product mix; relevant as a regional benchmark for the faith-inclusive microfinance banking model in East Africa.

Others

• HOPE International Network Members: Sister microfinance institutions within the HOPE International network operating in countries like DRC, Rwanda, and Ukraine. Highly relevant for benchmarking operational models and as candidates for SMEP's potential geographic expansion under HOPE's strategic guidance.

Emerging players

• Musoni Kenya / Musoni Services: Digital-first microfinance platform serving East African MFIs with cloud-based core banking and mobile loan origination. Adjacent competitor/partner to SMEP; represents the emerging tech-enabled microfinance model that traditional MFIs must adapt to remain competitive.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/SmepMFB
• Facebookfacebook.com/smepmfbplc
• LinkedInlinkedin.com/company/smep-microfinance-bank

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles10 records

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about SMEP Microfinance Bank