African banks join forces to boost small businesses

Sep 26, 2012

Small and medium-sized enterprises (SMEs) could be set to benefit from a new link-up between financial institutions in Africa.

According to the Star, South African company Absa is collaborating with Barclays Bank of Kenya in an effort to fuel growth in the SME sector.

"Small and middle-sized enterprises have a significant role to play in economic and industrial development," said Bobby Malabie, chief executive of retail and banking at Absa.

As a result, he believes supporting these companies more heavily will help to provide more employment opportunities.

This, he stated, would in turn take the whole of Africa "to the next level" in terms of its economic power and influence.

A guide on current conditions in the SME market is to be drawn up by Barclays and Absa.

Meanwhile, the two organisations are to put policymakers in Kenya under greater pressure to introduce various measures that support growth among smaller ventures.