NAIROBI, Kenya– Agri-SMEs in Kenya are set to benefit from a major financial boost after fintech company Avenews announced a KES 2.5 billion fund dedicated to agricultural financing.
The move aims to bridge the sector’s long-standing credit gap and provide small and medium-sized enterprises (SMEs) in the agricultural value chain with much-needed working capital.
Speaking at the launch event, Avenews Country Manager Emmanuel Murai said the company’s flagship products—Agri-Credit Line, Agri-Supplier Financing, and Agri-Buyer Financing—are already reshaping Kenya’s agricultural lending landscape.
“Our early market response indicates that we’re not just making waves in Kenya but laying the foundation for a transformative shift across Africa,” Murai said.
Agriculture remains the backbone of Kenya’s economy, contributing 34% of the GDP and employing millions.
However, access to credit remains a major challenge. According to the Central Bank of Kenya (CBK), the sector receives only 3.53% of private sector credit, equivalent to KES 134.2 billion out of the total KES 3.8 trillion in available private-sector lending.
This financing gap is part of a larger continental problem. A report by Aceli Africa estimates that Sub-Saharan Africa faces an annual agricultural finance deficit of $180 billion, with $65 billion needed specifically for agri-SMEs.
Avenews, which has been in operation since 2017, aims to change that by leveraging technology to offer digital financing solutions tailored to the unique cash flow cycles of agribusinesses.
Avenews CEO Jonathan Tseelon emphasized the company’s approach to financing, which considers the unpredictable nature of agriculture.
“Unlike other industries, agriculture operates on its own cash flow cycle. Our financing solutions are designed to align with that rhythm, ensuring agribusinesses can access capital when they need it most,” Tseelon explained.
He added that the company’s goal is to make financing quick and accessible, enabling agri-SMEs to improve cash flow, increase inventory, and expand their operations.
Government officials at the event acknowledged the role of such innovations in complementing state policies aimed at boosting agricultural productivity.
Moses Kimani, an advisor to the Principal Secretary in the State Department of Livestock Development, lauded Avenews’ initiative.
“The introduction of innovative agri-trade financing products has the potential to transform the agricultural supply chain, not just in Kenya but across Africa,” he said.
The launch event brought together key stakeholders from the agri-tech, finance, and supply chain sectors, including representatives from the East Africa Grain Council, Kenya Agricultural & Livestock Research Organization (KALRO), and Ketha.Africa.
Their presence underscored the importance of collaborative efforts in tackling financing challenges and fostNAIROBI, Kenya– Agri-SMEs in Kenya are set to benefit from a major financial boost after fintech company Avenews announced a KES 2.5 billion fund dedicated to agricultural financing.
The move aims to bridge the sector’s long-standing credit gap and provide small and medium-sized enterprises (SMEs) in the agricultural value chain with much-needed working capital.
Speaking at the launch event, Avenews Country Manager Emmanuel Murai said the company’s flagship products—Agri-Credit Line, Agri-Supplier Financing, and Agri-Buyer Financing—are already reshaping Kenya’s agricultural lending landscape.
“Our early market response indicates that we’re not just making waves in Kenya but laying the foundation for a transformative shift across Africa,” Murai said.
Agriculture remains the backbone of Kenya’s economy, contributing 34% of the GDP and employing millions.
However, access to credit remains a major challenge. According to the Central Bank of Kenya (CBK), the sector receives only 3.53% of private sector credit, equivalent to KES 134.2 billion out of the total KES 3.8 trillion in available private-sector lending.
This financing gap is part of a larger continental problem. A report by Aceli Africa estimates that Sub-Saharan Africa faces an annual agricultural finance deficit of $180 billion, with $65 billion needed specifically for agri-SMEs.
Avenews, which has been in operation since 2017, aims to change that by leveraging technology to offer digital financing solutions tailored to the unique cash flow cycles of agribusinesses.
Avenews CEO Jonathan Tseelon emphasized the company’s approach to financing, which considers the unpredictable nature of agriculture.
“Unlike other industries, agriculture operates on its own cash flow cycle. Our financing solutions are designed to align with that rhythm, ensuring agribusinesses can access capital when they need it most,” Tseelon explained.
He added that the company’s goal is to make financing quick and accessible, enabling agri-SMEs to improve cash flow, increase inventory, and expand their operations.
Government officials at the event acknowledged the role of such innovations in complementing state policies aimed at boosting agricultural productivity.
Moses Kimani, an advisor to the Principal Secretary in the State Department of Livestock Development, lauded Avenews’ initiative.
“The introduction of innovative agri-trade financing products has the potential to transform the agricultural supply chain, not just in Kenya but across Africa,” he said.
The launch event brought together key stakeholders from the agri-tech, finance, and supply chain sectors, including representatives from the East Africa Grain Council, Kenya Agricultural & Livestock Research Organization (KALRO), and Ketha.Africa.
Their presence underscored the importance of collaborative efforts in tackling financing challenges and fostering growth in the agricultural sector.ering growth in the agricultural sector.
