Ed Partners secures $10m DFC loan guarantee commitment to expand access to affordable education in Kenya
Kenya’s Ed Partners Africa, a non-banking financial institution that specialises in providing loans to affordable private schools, has announced the commitment of a US$10 million loan guarantee facility from the United States’ Development Finance Corporation (DFC) to help it expand access to affordable education.
Founded in 2018 by Lydia Koros and David FitzHerbert, and currently led by CEO Amos Mwangi, Ed Partners provides financing options for crucial elements of the education system, including infrastructure, technology, and transport. Its impact has already reached over 100,000 students across 350 schools.
The startup provides infrastructural loans to educational institutions to support the construction of new classrooms, washrooms, laboratories and dormitories, as well as the acquisition of computers, buses, vans, and internet connectivity.
Having raised a US$1.9 million funding round in June 2021, Ed Partners secured US$1.5 million debt funding from Oiko Credit back in August. It has now followed that up by securing a US$10 million loan guarantee from DFC, which said aligned with its commitment to increasing access to quality education, especially for underserved populations.
The loan, once disbursed, will facilitate the expansion of accessible, high-quality education opportunities in Kenya by providing essential financial support to these schools.
“This is an important transaction that will provide vital financing to support increased access to affordable, quality education, especially among underserved populations in Kenya. The investment reflects DFC’s commitment to improving access to education in Kenya and supporting sustainable development in the region,” said James Polan, vice president of DFC’s Office of Development Credit.
Ed Partners Africa’s CFO Janet Waweru said the company was “thrilled” to partner with DFC in our efforts to expand educational opportunities in Kenya and East Africa.
“This funding will enable us to reach more schools and students to improve learning outcomes and make quality education more accessible, ultimately contributing to the long-term development and prosperity of the region,” she said.