#11
SBM BANK KENYA
In today’s ever-changing world, the most forward-thinking institutions are integrating ‘doing good’ into their core business strategies, understanding that their impact extends far beyond financial transactions and profits.
Banks are uniquely positioned to drive change, shaping not only the economy but also the environment and society. At the intersection of profitability and responsibility, Environmental, Social, and Governance (ESG) principles have become the gold standard for sustainable and ethical growth. In this context, SBM Bank Kenya stands as a prime example of how financial institutions can champion these values, seamlessly weaving ESG into their operations and making it a natural part of their business DNA. Guided by the expertise and vision of its global parent company, SBM Holdings, SBM Bank Kenya has firmly established itself as a leader in the ESG space, blending global standards with local impact.
SBM Bank Kenya has consistently demonstrated its commitment to environmental sustainability. For example, the bank has partnered with Safer Power to connect Stoni Athi Resort to off-grid solar power, marking a significant step toward reducing reliance on non-renewable energy. In addition, SBM Bank Kenya’s investment in Bboxx Kenya, a next-generation renewable energy company, has extended off-grid solar home systems to nearly half a million people across the country. Furthermore, the bank has been organising tree-planting drives, with approximately 8,000 trees planted in 2023 alone, as part of its ongoing environmental efforts.
Alongside these initiatives, SBM Bank Kenya is actively engaged in community-based environmental conservation projects. For example, in March 2024 and more recently in January this year, the bank partnered with Diani Turtle Watch for a beach cleanup and other activities aimed at protecting the endangered sea turtle population. This initiative is part of SBM Bank Kenya’s broader sustainability agenda, with a particular focus on Kenya’s coastal region, a vital biodiversity hotspot. The event included efforts to relocate vulnerable turtle nests to safer locations, enhance monitoring activities, and raise awareness about the threats posed to these endangered species by human activity and climate change.
For its role in environment-conscious activities, SBM Bank was recognized by World Wide Fund for Nature (WWF) for its partnership on the #JourneyofWater Campaign – an initiative aimed at addressing pressing water-related issues across the Ewaso Nyiro River Basin. The event touched on WWF’s private sector roadmap, highlighting their steadfast dedication to sustainability and conservation initiatives that are central to SBM’s day-to-day operations.
In the social sphere, SBM Bank Kenya is making strides to uplift underserved groups, particularly women and small businesses. Through a USD 10 million risk-sharing agreement with the African Guarantee Fund (AGF), the bank has expanded financing opportunities for Micro, Small, and Medium-sized Enterprises (MSMEs), with a focus on women-led ventures. This initiative has empowered over 1,500 women-owned businesses, helping them formalise operations and access financial services – a milestone recognised by the World Business Outlook, which awarded SBM Bank Kenya the ‘Best Bank in Women Banking Kenya 2023’.
Consequently, SBM Bank was recognised as the best ESG Bank in Kenya 2024 by The Global Financial Market (GFM) Review. This recognition is a testament to the bank’s unwavering commitment as a United Nations Women Empowerment (UNWEP) signatory to protect, educate, and empower women. Through the Women Markets Program, the bank has partnered to empower over 15,000 MSMEs with entrepreneurship skills, enabled market access through initiatives like the Pop-up market and global collaborations, created opportunities with gender-responsive procurements, granting contacts to women entrepreneurs, supported women employees with career growth programs and workplace inclusivity and supported women in marginalized communities to have safe delivery by providing newborn maternal care kits.
SBM Bank in partnership with Centre for the Promotion of Imports (CBI), a program funded by the Dutch Ministry of Foreign Affairs have announced an initiative that will see women taking up valuable global trading opportunities. The initiative will focus on Kenyan women entrepreneurs in export value chains, targeting 15 businesses during the initial six-month pilot phase and scaling up significantly in following years. The partnership will see the launch of a series of activities that will aim to enhance women’s access to finance to facilitate their entry and expansion in international markets.
Further, the bank regularly organises workshops and pop-up markets for SMEs, providing them with the platform to network, gain visibility, and boost sales. Beyond business, SBM Bank Kenya fosters community engagement by sponsoring various sports and cultural events, such as golf tournaments, polo matches, and music concerts, positioning itself as a brand that celebrates and supports local culture.
Internally, SBM Bank Kenya prioritises the well-being of its employees, promoting a healthy work-life balance and personal development. The bank runs awareness campaigns on stress management, nutrition, and health concerns such as breast cancer, ensuring that staff are not only equipped to perform professionally but also supported in maintaining their overall well-being.
On the governance front, SBM Bank Kenya’s commitment to upholding the highest ethical standards is clear. As an official participant in the United Nations Global Compact, the bank has aligned its operations with global ESG principles, ensuring that corporate responsibility and sustainable development are integrated into its business model. The bank’s governance framework is robust, with regular reviews of policies to adapt to emerging risks, including climate-related challenges. In 2023, the bank conducted a comprehensive audit of high-risk areas in compliance with international standards, and improvements to its audit management software have enhanced efficiency and oversight, reinforcing transparency and accountability across operations.
SBM Bank Kenya stands as a stalwart in the ESG landscape, seamlessly integrating environmental stewardship, social responsibility, and strong governance into its business ethos. With the forward-thinking, transformational and experienced leadership of newly appointed CEO Bhartesh Shah and the backing of its global parent company, SBM Bank is not only driving sustainable development in Kenya but also setting a new standard for responsible banking. The future looks bright for this fast-growing institution as it continues to combine innovation with a steadfast commitment to making a positive impact.
AUTHOR: SBM BANK KENYA
EDITOR: MARTIN O’NEIL
