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· Micro, small and medium enterprises in Kenya experiencing disrupted cash flows can access now secured and unsecured financing for acquisition of trading assets and working capital to support business activities and protect jobs
· The beneficiaries will receive financing solutions ranging between KShs.100,000 to KShs.5 million
· These loans need to be repaid over 36 months.
Micro, small and medium enterprises in Kenya experiencing disrupted cash flows can access now secured and unsecured financing for acquisition of trading assets and working capital to support business activities and protect jobs. The comfort has been extended by Kenya’s Central Bank (KCB). The facility can also cushion the MSMEs from the negative effects of Covid-19 and to restart their operations following restrictions imposed due to Covid-19 pandemic.
The beneficiaries will receive financing solutions ranging between KShs.100,000 to KShs.5 million. These loans need to be repaid over 36 months. To avail the benefits, the businesses should have a KCB bank account for at least six months.
Non-financial services will also be extended to those who are availing the benefits such as advisory provisions and training on how to navigate the business under trying conditions. The objective is to help the business units to operate them efficiently, which in turn can lead to timely repayment of loans to be disbursed to more number of beneficiaries. KCB also received approval for US$150 million in October 2020 from the International Finance Corporation (IFC) to support the growth of the Bank’s sustainable lending to micro, small and medium enterprises including women-owned businesses.
KCB provides a wide range of SME loan products including short-term SME loans, temporary and permanent overdraft facilities and education loans, asset-based finance facilities and Insurance Premium Financing.
