The document summarizes an evaluation of loan guarantees provided by USAID to Kenya Commercial Bank (KCB) through the Development Credit Authority (DCA) program in 2006 and 2010. The guarantees were intended to encourage KCB to increase lending to small and medium enterprises (SMEs) in underserved areas by covering 50% of the risk. The evaluation found that the guarantees achieved their objectives by enabling KCB to issue over 1,900 loans totaling over $13.5 million to SMEs in sectors like agriculture, tourism, and manufacturing. Borrowers experienced growth in sales, profits, and employment. The guarantees also demonstrated to KCB and other Kenyan banks that lending to SMEs can be profitable.