Capital Markets Development

EADB recognizes the importance of having vibrant and diversified regional capital markets as a critical force for regional integration. Towards this end, EADB has championed the strengthening and deepening of the region’s capital markets through its local currency resource mobilization programs (issuance of bonds). The Bank pioneered the issuance of corporate bonds in East Africa and continues to raise local currency resources by issuing bonds in the region’s capital markets. Since its first issue of 1996 on the Nairobi Stock Exchange, the EADB has had a successful bond issuing and servicing experience in the sub-region, mobilizing about USD 90 million from 6 issues, with the proceeds being invested in the productive sectors of the East Member States.

As the only regional DFI for East Africa, EADB has played a leading role in strengthening financial institutions in EAC with a view to promoting financial inclusion. This has been done through funding of micro finance institutions and strengthening the capital base of institutions that serve SMEs through direct equity participation.