Chase Bank and the French Development Agency yesterday signed a €10 Million (Sh1.12 billion) loan agreement to finance green energy projects in Kenya.

Chase Bank chief executive Paul Njaga said funds will be lent to businesses that want to invest in renewable energy technologies projects such as small hydro, biomass, biogas, solar, geothermal and other energy efficienct

“This is a 12-year facility and will therefore address long term funding requirements in energy projects. The total committed amount is €30 Million (Sh3.37 billion), of which €10 Million will be available immediately for lending,” he said.

AFD’s regional director Boudot Yves said the credit line also comes with a technical assistance program that will be managed by the Kenya Association of Manufacturers.

“This technical and financial offer is particularly important to bring additional solutions to achieve the diversification of energy resources in the East African region and help the region to transition towards sustainable energy solutions that are technically, economically and financially viable,” he said.