Family Bank and Isuzu East Africa have partnered to offer customers a three-month repayment holiday on commercial vehicles amid the Covid-19 pandemic.
The deal will enable small and medium-sized customers in the agribusiness, trade and logistics businesses to conveniently purchase Isuzu pick-ups and trucks.
“Through the 90-day repayment holiday, we are seeking to offer flexible terms to business owners to be able to expand their businesses,” said Family Bank chief executive Rebecca Mbithi.
Under the asset finance agreement dubbed deal Isuzu Strong, Kenya Strong, customers will access up to 95 percent financing payable within 60 months.
Schools and churches will be able to access 100 percent financing for their purchases while public service vehicles buyers can access up to 80 percent financing with a 48-months repayment period.
Isuzu East Africa managing director Rita Kavashe said the initiative aims at revitalising SMEs, which have been hit by closures, inter-county movement restrictions and reduced spending due to job losses.
“This partnership with Family Bank comes at the right time to mitigate these challenges. Significantly, for the next three months, SMEs will enjoy a 90-days grace period before they can begin to repay their loans,” she said during the signing ceremony.
The deal also gives SMEs access to a credit line facility of Sh200,000 on their mobile phones to support their business needs. With every vehicle purchase, the SMEs will also obtain two Amref Maisha Covers in case of emergency evacuation services, where Amref Flying Doctors will provide air and ground ambulances.
In May, Family Bank announced it had set aside Sh1.3 billion for SMEs in the health sector to ease their cash flow challenges in the wake of the pandemic.