Last Updated March 20, 2013

Partner Description:

SMEP - Deposit Taking Microfinance Limited is a leading Christian microfinance organization in Kenya. Operating since 1999, SMEP hopes to empower Kenyans and alleviate poverty. Through innovation, it plans to continue to redefine and reinvent its systems to respond to the evolving and active Kenyan marketplace. SMEP aims to maintain a strong, dynamic, customer-centric institution that is a reliable financial partner to all of its customers.

Because of this well established infrastructure, SMEP is able to serve 135,000 clients with a total portfolio of over KES 1.4 billion (US$16.3 million). It is a nationwide institution with 20 branches and 13 satellites covering all major towns in Kenya.

The primary goal of SMEP is to improve the standard of living of economically poor and marginalized entrepreneurs by providing access to credit and other services that can stimulate economic growth. In the long run, SMEP hopes to increase income generating activities among low income entrepreneurs, improve the business management skills of its clients and create an economically sustainable credit program.

SMEP’s unique lending approach:

SMEP’s two main product categories of credit include group and retail loans. These loans are given to micro and small entrepreneurs who have registered with self-help groups and have complied with SMEP group rules and regulations.

These loans average in size from KES 25,000 to KES 3 million (US$292 to $35,000). To protect clients’ interests, these loans are not secured by conventional collateral such as land title deeds or vehicles. Instead, group members guarantee one another. SMEP’s loan portfolio is focused on financing small businesses or micro enterprises operated by low income individuals.

In 2009, SMEP achieved a major milestone by partnering with
Safaricom to enable its clients to repay their loans using mobile transaction service M-PESA. 

In 2010, SMEP underwent another transformation. It made the transition from a credit-only institution to one that can also take deposits. To account for this, SMEP has opened branch facilities where its clients can not only receive and pay back loans, but also deposit money into savings accounts.

Kiva HelpRepayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Jul 18, 2009 Oct 12, 2005
Total Loans $2,257,500 $537,835,100
Amount of Raised Inactive Loans $0 $320,475
Number Of Raised Inactive Loans 0 249
Amount of Paying Back Loans $873,075 $109,850,425
Number Of Paying Back Loans 2,264 113,387
Amount of Ended Loans $1,384,425 $427,664,200
Number Of Ended Loans 4,012 549,502
Delinquency Rate 3.48% 3.39%
Amount In Arrears $19,945 $2,403,768
Outstanding Portfolio $573,947 $70,950,902
Number of Loans Delinquent 294 10,653
Default Rate 0.05% 1.01%
Amount of Ended Loans Defaulted $655 $4,334,868
Amount of Ended Loans $1,384,425 $427,664,200
Number Of Ended Loans Defaulted 2 14,050
Currency Exchange Loss Rate 0.01% 0.06%
Amount of Currency Exchange Loss $210 $298,028
Refund Rate 0.69% 0.82%
Amount of Refunded Loans $15,475 $4,417,000
Number Of Refunded Loans 28 4,864

Kiva HelpLoan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans To Women Entrepreneurs 59.84% 74.09%
Average Loan Size $359 $417
Average Individual Loan Size $360 $656
Average Group Loan Size $1,370 $1,812
Average Number Of Entrepreneurs Per Group 5.8 8
Average GDP Per Capita (PPP) in Local Country $1,800 $3,463
Average Loan Size / GDP Per Capita (PPP) 19.96% 12.05%
Average Time To Fund A Loan 3.55 days 5.28 days
Average Dollars Raised Per Day Per Loan $101.12 $78.99
  Average Loan Term 8.81 months 10.05 months

Kiva HelpJournaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 2,667 268,526
  Journaling Rate 54.45% 42.10%
  Average Number Of Comments Per Journal 0.01 0.09
  Average Number Of Recommendations Per Journal 0.01 2.06

Kiva HelpBorrowing Cost Comparison (based on 2011 data)

    This Field Partner Median for MFI Peers in Country All Kiva Partners
  Portfolio Yield 29.20% 32.90% 34.93%
  Profitability (Return on Assets) 0.8% 0.2% -1.11%
  Average Loan Size (% of Per Capita Income) 40.10% 51.50% 42.70%

Kiva HelpCountry Fast Facts

Field Partner Staff

Mary Chege
Fridah Gakii njeru
Simon Kamore
James Matito
Phylis Mbungu
Tobias Mutua
Anthony Mwamburi
Immaculate Wanjiru
Simon Wanjohi