Co-op Bank inks South Sudan rural finance deal backed by Sh2.6b UNDP fund

Business
By Brian Ngugi | Nov 27, 2025
Dr Ligane Sene, Deputy Representative and Senior Economist for UNDP in South Sudan sign-off the Workplan documents for the $20 million Rural Enterprise and Agriculture Development project with Elijah Wamalwa, the Managing Director of Co-operative Bank of South Sudan. [Courtesy, Co-op Bank}

The Co-operative Bank of South Sudan, a subsidiary of tier one lender Co-operative Bank of Kenya, has signed a multi-year agreement with the United Nations Development Programme (UNDP) to boost agricultural financing and food production in the world's youngest nation.

The South Sudan lender will implement Component II of the Rural Enterprise and Agriculture Development (READ) project under a $20 million (Sh2.58 billion) grant from the International Fund for Agricultural Development (IFAD), with additional funding from the South Sudanese government and other partners.

The UN-backed initiative aims to strengthen rural finance systems, enhance food production capabilities, and empower small-scale farmers, youth and women across targeted counties in South Sudan, which continues to face significant food security challenges.

"The partnership highlights the power of collaboration in transforming rural economies and strengthening resilience across targeted counties to promote sustainable agricultural development in South Sudan," the parties said in a statement.

The agreement was signed by Dr Ligane Sene, Deputy Representative and Senior Economist for UNDP in South Sudan, and Elijah Wamalwa, Managing Director of Co-operative Bank of South Sudan, in collaboration with the country's Ministry of Agriculture and Food Security.

Co-op Bank said it has been keen to support farmers and agriculture across its initiatives, with the READ project representing one of the larger agricultural finance initiatives in South Sudan, where limited access to credit has long constrained the development of the farming sector despite the country's vast agricultural potential.

The South Sudan development project comes as the Nairobi-based parent company, Co-op Bank of Kenya, reported strong financial results for the third quarter of 2025.

The tier one lender, Kenya's third-largest by assets, reported a 12.3 per cent rise in profit after tax to Sh21.6 billion, up from Sh19.2 billion in the same period last year.

The group's subsidiary in South Sudan posted a restated profit of Sh93.5 million after accounting for hyperinflation, with Co-op Bank's growing regional presence now including 6 branches in South Sudan.

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