SBM Bank Kenya and Tata Holdings Africa (Kenya) have signed a Memorandum of Understanding (MOU) to provide vehicle financing solutions to customers. This partnership offers customers access to 100 percent financing for vehicle purchases with a repayment period of up to six years, at preferential rates. Individuals, small and medium-sized companies, and large commercial businesses are all targeted in this partnership.
Jotham Mutoka, the Deputy CEO and Chief Commercial Officer of SBM Bank Kenya, emphasized the importance of mobility as a key driver of economic development, as it enables the movement of goods, services, and people, powering development across all sectors. This partnership aims to create avenues to enhance access to vehicles for the SME sector, which is a critical contributor to the Kenyan economy. By enabling asset financing through the MOU, the partnership hopes to bring customers’ financial dreams one step closer.
Kamal Rohira, Auto Business Head at Tata Africa Holdings (K) Ltd, highlighted the partnership’s objective to offer a competitive rate of interest and an easy and attractive facility of up to 100% for six years, with a payment holiday of almost 60 days. Tata Africa Holdings (K) Ltd, which has an active population of over 15,000 commercial vehicles in the country, will work with customers to make Tata commercial vehicles more affordable.
The partnership between SBM Bank Kenya and Tata Holdings Africa (Kenya) is a one-year collaboration. Recently, Tata Kenya opened its new branch in Kisumu to ensure that customers have access to specialized services post-purchase. The rising demand for vehicles used in construction has made Tata Africa the market leader in their category and the brand of choice for many in the construction sector, a key pillar in the Kenyan economy.