Absa has announced that it has restructured Ksh. 54B in loans in order to cushion its customers against the impact of the COVID-19 pandemic.
The bank announced that it has restructured over 50,000 loan facilities that amount to over Ksh. 54 billion. This is part of its efforts to assist its customers who have been affected by the crisis that the COVID-19 pandemic has created.
The bank’s loan relief programme will cover all types of loans including personal loans, mortgages, asset financing and business loans among others. Under the initiative, customers will receive an initial relief of up to three months. The relief period can also extended after review, on a case by case basis. More than 90% of the restructured loans are in the personal and small business segments with the remainder split between mid-sized companies and large corporates.
Customers who receive the repayment relief will not be charged any extra processing fees. However, during the repayment holiday, interest will continue to accrue on and the customer’s loan repayment period will be extended to accommodate the relief.
In addition to the loan relief programme, Absa is currently supporting its business customers through training and mentorship programmes offered through bi-weekly webinars featuring subject matter experts.
The bank has also contributed Ksh. 50 million to the fight against COVID-19 in Kenya. Ksh. 20 Million was chanelled towards the Covid-19 Emergency Response Fund to support the acquisition of Personal Protective Equipment and other additional support for the health workers. The remaining Ksh. 30 Million went to various initiatives designed to help individuals and businesses get through the pandemic. This includes a psychosocial support programme in partnership with Minet, through which the bank is providing a mental wellness care center for Covid-19 patients, health workers and care givers. It has also launched a loan facility to assist learning institutions and parents who need to obtain the necessary equipment to enable their children access lessons on the available e-learning platforms.
The bank has also delivered 210,000 face masks comprising of 10,000 KN-95 masks for medical workers and 200,000 3ply masks other caregivers and other frontline workers. The masks were donated to Kenyatta National Hospital, Kenyatta University Referral Hospital and Coast General Hospital. The bank has also distributed an additional 30,000 reusable facemasks to boda boda riders and newspaper vendors across the country.