KCB’s Discounted Loan facility to benefit MSME Customers deal with Cash Flow Issues.

KCB bank has established a discounted lending facility to help KCB MSME customers whose business activities have been interrupted by Covid-19.

Micro, small, and medium-sized businesses with disturbed cash flows will be able to obtain both secured and unsecured finance for the acquisition of trading assets and working capital to maintain business activities and protect jobs in the long run. To protect MSMEs from the detrimental consequences of Covid-19, the facility has also been discounted.

“We are working hard to impel economic recovery with a focus on business enterprises.  This facility will enable these MSMEs to restart and rebuild as the pandemic-related restrictions continue to be lifted and recovery persists,” Said Annastacia Kimtai, Director Retail, KCB Bank Kenya.

Kimtai added that these businesses are the lifeblood of our economy, and we’re going above and beyond to make sure they’re well-funded to weather the storm and contribute to economic recovery and growth.

The winners would be offered financing options ranging from Sh100,000 to Sh5 million, with repayment terms of 36 months. The company must have a KCB bank account and have been in operation for at least six months.

Non-financial services such as advising provisions and training sessions on how to maneuver through the current market shocks would be provided to MSMEs who use the facility.

“We recognize the potential MSMEs have on the economic growth in Kenya and that is why the Bank takes a keen interest to support the sector. We have been working with the county governments to provide facilities to enterprises and cooperative societies whose businesses have been affected by the slowdown in business operations.” Kimtai said. “So far we have partnered with Laikipia and Kiambu County governments.” She added.

The International Financing Corporation (IFC) as a lead syndicator approved KCB for US$150 million in October 2020 to support the growth of the Bank’s sustainable climate finance portfolio and scale-up lending to micro, small, and medium companies, especially women-owned businesses.

The credit line has contributed to Kenya’s economic growth by assisting in the development of green lending and job creation, particularly for women-owned enterprises.

Long-term and short-term SME loans, temporary and permanent overdraft facilities, learning institutions loans, and dealer and Mpesa loans are all available through KCB. Asset-based credit and Insurance Premium Financing are also available from KCB.

Interested individuals should visit any KCB branch and will be supported throughout the application process by a KCB Relationship Manager.