NCBA Group Chief Urged New Focus on Financial Systems
The leader of the banking group signaled that African growth requires stronger financial intermediation tools.
Updated on Sept. 25, 2026 in Corporate Finance
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NCBA Group Managing Director John Gachora told the Bullish Africa Summit that improving financial intermediation systems is a higher priority for business growth than sector-specific investment. Africa attracted $70 billion in foreign direct investment in 2025 against an annual unmet funding demand of $700 billion.
Why it matters
Business owners in the region face a massive capital shortfall because global investment frequently fails to align with the local currency and short-term nature of African demand. Bridging this gap is essential to scaling operations as traditional investment channels remain insufficient.
NCBA Group disbursed KES 819 billion in digital loans in the first half of 2026, though its SME lending portfolio reported a 10.5% non-performing loan rate. In 2024, mobile money transactions across Africa hit $1.1 trillion, with East Africa contributing $649 billion to that total.
The players
John Gachora
Managing Director of NCBA Group who oversees the lender's regional digital loan strategy and SME financing initiatives.
NCBA Group
A major financial services institution based in Kenya that operates across East Africa with a focus on digital and SME lending.
MTN
A multinational telecommunications conglomerate that recently expanded its infrastructure footprint through a multi-billion dollar tower acquisition.
HEVA Fund
An investment vehicle focused on the creative economy that partners with commercial banks to provide early-stage capital.
The details
NCBA Group is attempting to bridge the liquidity gap by using its bank balance sheet to blend development and commercial capital. This approach includes specialized instruments, such as a 50:50 capital-match facility with the HEVA Fund, which provides up to KES 100,000 per creator for early-stage ventures. These mechanisms aim to reduce risk while scaling sustainable financing, which the group targets at KES 30 billion by 2030.
Timeline
Mobile money transactions totaled $1.1 trillion across Africa in 2024.
Foreign direct investment in Africa reached $70 billion in 2025.
MTN acquired Nigerian tower operations for $6.2 billion in Q1 2026.
NCBA disbursed KES 819 billion in digital loans during the first half of 2026.
John Gachora addressed the Bullish Africa Summit on September 25, 2026.
Market Landscape
The current investment environment is characterized by a $700 billion annual funding gap that persists despite significant regional mobile money growth. This discrepancy illustrates the limitations of traditional foreign capital in reaching fragmented local business ecosystems.
Operators should evaluate if their current financing structures rely too heavily on traditional international channels that may not account for local currency volatility. Companies should track the efficacy of blended capital-match programs as they become a primary alternative for SME growth.
The takeaway
The primary strategic insight is that banking institutions are increasingly shifting toward blended capital models to bypass rigid traditional lending requirements. Operators should prioritize tracking non-performing loan rates within their specific sector to gauge the credit risk environment in East Africa.
Further reading
For broader trends in regional capital allocation, visit Corporate Finance.
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Do you believe funding financial systems is more effective for economic growth than funding specific industries?
