The Kenya Mortgage Refinance Company (KMRC) received a license from the Central Bank of Kenya (CBK) on September 18, 2020. The license gives the mortgage refinancing firm the greenlight to commence its core business of providing fixed long-term financing to participating banks, microfinance banks and Saccos for onward lending to borrowers seeking long-term home loans at affordable rates. The financial institutions that are participating in KMRC and who are also shareholders of the Company include KCB, Cooperative Bank, DTB, HF Group, NCBA, Absa Bank Kenya, Stanbic Bank Kenya and Credit Bank. Kenya Women Microfinance Bank (KWFT) is the sole MFB (Micro Finance Bank) while SACCOs include Kenya Police, Mwalimu National, Safaricom, Ukulima, Bingwa, Imarisha, Unaitas, Imarika, Tower, Stima and Harambee. According to KMRC Chief Executive Officer Johnson Oltetia, the issuance of the license paves way for disbursement of funds by the World Bank and continental DFI (Development Finance Institution) African Development Bank (AfDB), to the tune of Ksh. 35 billion in form of debt financing through the National Treasury. “This license not only marks a historic new dawn in affordable housing finance in Kenya, but it also illustrates the legal, structural and strategic foundations that we have been putting in place since inception for a fit-for-purpose mortgage refinance company,” said Mr. Oltetia. KMRC was incorporated under the Companies Act, with a required minimum paid up capital of Sh1 billion. The institution has however surpassed this threshold. Its board of directors, comprising of six non-executive and one executive director; significant shareholders’ and senior officers have been successfully vetted by the CBK and passed the fit and probity requirement. Mr. Oltetia also said that the company’s first strategic plan 2020-2024 sets its priorities right to provide long term funds, catalyzing growth in the uptake of home loans in Kenya as a pathway to home ownership in the short to medium term. The company has finalized setting up its internal policies and procedures, onboarded a highly competent management team, implemented a robust ICT system, and secured physical premises from where to run its day to day operations. “We have also formulated a Master Refinancing Agreement (MRA) that will govern the lending operations between KMRC and the participating institutions. Significantly, we have already carried out a portfolio review of the participating Banks and Saccos mortgage books to determine availability of eligible portfolio that qualify for KMRC refinancing. A mortgage portfolio of Kes. 4.5 billion is available for refinancing subject to the necessary due diligence,” added Mr. Oltetia. The licensing of KMRC and the expected release of long-term funds to participating banks and saccos is timely for the affordable housing finance agenda in Kenya, especially with the Covid-19 pandemic having severely impacted the mortgage market. With reduced household incomes triggering increase in non-performing loans and liquidity squeeze especially in the Sacco Sector, KMRC is part of the solution to mitigate the effects of the Covid-19 pandemic in the financial market.
“We the Government’s”


R-L: KMRC CEO Johnstone Oltetia, KMRC Board members Susan Maira, Sarah Bonaya and Asman Khatolwa present a dummy cheque to Gillian Njeru- Manager at Imani Rehabilitation Agency on August 14th, 2020 during KMRC’s CSR initiative.

The Kenya Mortgage Refinance Company (KMRC) held its first Ccorporate Social Responsibility (CSR) initiative on Friday August 14th, 2020 at the Imani Rehabilitation Centre in Kayole, donating KES. 770,000.00 worth of baby formula, foodstuff, personal hygiene products, Personal Protective Equipmentamong others.

The initiative was in response to the major disruptions in the communities as a result of the COVID-19 Pandemic that has affected the whole world since it was first discovered in December 2019. KMRC planned to implement a CSR project that would benefit a deserving initiative and would engage volunteerism from staff and board members. Five members of staff and three board members attended the function that would mark KMRC’s maiden community activity since its inception in April 2018. “We do our best to emphasize responsible and sustainable business operations in order to optimize positive impact of the organization in the society. Looking after the interests of our children, vulnerable as they are is a sacrifice; doing so in the midst of a pandemic such as the COVID-19 that we are currently facing is even more remarkable. Everyone that is involved in the smooth day-to-day operation of the Imani Children’s Centre deserves a huge applaud” said CEO Johnstone Oltetia.

Imani Rehabilitation Agency is a non-profit organization headquartered in Nairobi’s Kayole and runs four other branches in various parts of the country. It is registered
under the Ministry of Home Affairs as charitable children institutions vide CDEN OOOO71.

“Corporate Social Responsibility is very important to KMRC. One of our key objectives is to positively impact the communities in which we operate. This gives us an opportunity to do our business operations in an ethical and sustainable way thus responsibly deal with environmental and social impacts,” said Sarah Bonaya, KMRC Board member.

KMRC CEO (3rd from left) makes remarks during the KMRC CSR project at the Imani Rehabilitation Agency on Friday August 14, 2020.

Imani Rehabilitation Agency is home to more than 350 children and has been in operation for 30 years. It hosts regular children, special needs children as well as children living with HIV/AIDS. It was founded by Ms. Faith Wanjiru as a rehabilitation program for the street children at a time when Nairobi city had more than 60,000 homeless children living on the streets.

“We are so grateful to KMRC that you saw it fit to initiate this project at Imani Rehabilitation Centre, especially now that most of our donors and well wishers’ revenues have been adversely affected by the COVID-19 global pandemic. We have so worried about how we were going to feed the children seeing as we have exhausted all our resources. Now we can take a little break and relax, assured that we have enough food for the children to last us a few months,” said Gillian Njeru, Imani Rehabilitation Agency Manager.
Imani Rehabilitation Agency houses children aged from one day to eighteen years old and had received more than fourty infants from the Kenyatta National Hospital, Mama Lucy Hospital, Mbagathi County Hospital as well abandoned children picked up from the streets by Kayole residents.

KMRC CSR attendees (l-r) Deborah Masara (ICT Manager), Gideon Rutto (Logistics & Procurement Manager), Daniel Saruni (Head of HR & Administration), Irene Kadima (Communications Officer), Sarah Bonaya (Board Member), Johnstone Oltetia (CEO) Susan Maira (Board Member) and Asman Khatolwa (Board Member).