Isuzu East Africa has signed an asset financing agreement with Cooperative Bank of Kenya for the uptake of its heavy commercial vehicles.
The deal which also includes CIC Insurance will see businesses, Micro, Small and Medium Enterprises (MSMEs) and schools and other learning institutions access full financing from trucks and buses sold by the automaker.
Speaking during the signing of the agreement, William Ndumia Director Retail and Business Banking Co-op Bank said they recognize the challenges faced by schools and MSMEs to maintain and renew their vehicle fleets
“We will be offering the schools an additional Ksh 2 million in support of the operational needs and 100pc assets financing and extended their repayment tenure to 72 months. This is to cushion them from the high monthly loan installment terms in the market,” said Ndumia.
According to the lender, they will offer working capital of about Ksh 1 million to support operation and maintenance expenses for MSMEs that can be accessed digitally through mobile phones and they will receive up to 95pc financing with options of repayment holiday of 60 days, this will give them time to build on their business liquidity
“Today, Isuzu East Africa has partnered with Cooperative Bank to provide solutions that will address the needs of our customers during these challenging economic times. We are thrilled to launch a joint asset financing partnership that provides a ninety five percent financing,” said Isuzu East Africa’s, Managing Director, Rita Kavashe
“Additionally, the customers will receive a Competitive insurance package where commercial vehicles will receive 4pc on the covers while schools will get 3.5 pc,” added Patrick Nyaga, Group CEO CIC Group.
