Kenyan bank, NCBA, has partnered with car distributor, Toyota Kenya, to offer car loans to customers with a 90 day repayment holiday.
The two companies have signed an asset finance partnership to enable the purchase of commercial and personal vehicles such as Hilux single cab pickups, Hiace vans and Toyota Rush. The loans will be offered with an up to 95% financing option to be paid within 60 months. The customers will also be offered an extended repayment holiday of 90 days.
In a bid to ease the financial burden in the current business environment due to COVID-19, customers will in addition enjoy a discounted facility fee. Customers will also get to enjoy competitive premiums for motor insurance cover facilitated through NCBA’s bancassurance arm.
Speaking at the signing ceremony of the financing deal, NCBA Group Director, Asset Finance and Business Solutions, Alan Dodd stated that amidst the ongoing pandemic that has significantly disrupted many businesses, the timely partnership is a testament to NCBA’s commitment to building and sustaining the prosperity of individual customers and SMEs.
“It is vital that SMEs are provided with the necessary financial support which will give hope to the millions of people who rely on them for employment. Therefore, understanding our customer needs and supporting them during this difficult time is crucial, not just for their own businesses, but also for the wellbeing of the markets in which they operate.” he stated.
On his part, Toyota Kenya Chief Operations Officer Mr Joshua Anya said, “Although this is not the first asset finance partnership we are getting into, the significance of this partnership with NCBA Bank is down to the fact that despite the tough operating environment, our commercial customers, especially in the SME category are still in a position to run their operations.”
The small and medium enterprise sector, which is the country’s largest employer has particularly been hard hit by the pandemic, and the availability of this product will be a boost in managing their cash flows, as they seek to recover.