KENYA COMMERCIAL BANK IN 1.3B LOANS DEAL WITH KIAMBU COUNTY TO SUPPORT ENTREPRENEURS

KCB Bank Group Director Retail Annastacia Kimtai (left) with H. E James Nyoro(right) kiambu Governor sign MOU witness with Eric Kiriko (back L) and Zacharia Cheruiyot (back R) Head Micro Banking KCB Bank Group. KCB Bank Kenya has set aside KShs. 1.3 billion to support Micro, Small, Medium Enterprises (MSMEs) in Kiambu County to help them weather the COVID-19 pandemic. This was at kiambu county government offices. PHOTO /EDNAH KIARIE

KENYA COMMERCIAL BANK IN 1.3B LOANS DEAL WITH KIAMBU COUNTY TO SUPPORT ENTREPRENEURS

By Ednah Kiarie

KCB Bank Kenya set aside KShs. 1.3 billion to

support Micro, Small, Medium Enterprises

(MSMEs) in Kiambu County to help them

weather the COVID-19 pandemic.

Under the arrangement, KCB will provide

affordable facilities to enterprises whose

businesses have been affected by the outbreak.

The County Government will pay part of the

interest (6%) while business owners will take up

the balance (7%).

“The interest sharing, and guarantee model is

one of the innovative ways the bank has

developed through partnership with the county

government to facilitate credit to catalyze the

business growth of the entrepreneurs and

enable economic recovery,” said KCB Director

Retail Mrs Annastacia Kimtai during the launch

of the proposition on Friday.

“We appreciate 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 see this facility as a strong cushion

for small businesses in the county, something

that should be replicated across the country.

We hope it will boost our economic recovery

and provide capital and other resources to

small businesses to help them weather the

crisis. If MSMEs do well, the economy does

well. 

This fund targets existing MSMEs in Kiambu

County where entrepreneurs will be financed

according to their ability to pay based on their

cash flows.

“We are very pleased to partner with the bank

as we know the importance of entrepreneurship

and the major role it plays in stimulating growth

in both urban and rural areas while at the same

time freeing more people from the poverty trap.

The loan facilities provided by the bank will

ensure business continuity during the crisis,”

said Kiambu County Governor Dr. James Nyoro.

The programme has also drawn in 4 other

partners—the Kenya National Chamber of

Commerce & Industry (KNCCI), Master Card

Foundation, Kenya Investment Authority and

Zetech University to drive the commitment to

keeping businesses solvent in response to the

pandemic.

The County Government of Kiambu will develop

policies and structures that support the

utilization and sustainability of the fund and

also facilitate capacity building for

entrepreneurs.

The facility is part of a raft of initiatives which

KCB is running to support the revival of

businesses affected by the effects of COVID-19

pandemic. In addition, the Bank rolled out relief

accommodation measures to cushion

distressed customers.

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