Isuzu partners with Coop Bank to launch an asset finance scheme targeted at schools

Isuzu has partnered with Cooperative Bank and CIC Insurance to launch an asset finance scheme designed for schools and businesses facing weakened financial capabilities.

With the economic slowdown experienced in the country, cash circulation has shrunk, making it challenging to secure necessary deposits for asset purchases. This financial constraint limits customer’s ability to initiate or expand investments in critical assets. The Isuzu and Cooperative Bank scheme provides schools and businesses the financial support to raise enough deposits for purchasing new vehicles.

Managing Director, Rita Kavashe said, “Today, Isuzu East Africa, has partnered with Cooperative Bank to provide solutions that will address the needs of our customers during these challenging economic times. We are thrilled to launch a joint asset financing partnership that provides a ninety five percent financing option for Isuzu’s N-series, F-series, Pickups, TFS and TFR Series. The partnership aims to address current economic challenges to cushion Kenyan schools and businesses with 100% and 95% asset financing respectively.”

Cooperative Bank Managing Director, and Group CEO Dr Gideon Muriuki said, “We have observed that due to high monthly loan installment terms in the market, customers have prioritised other functions in their business such as raising funds for their stocks and normal operations. We have therefore added a digital credit of up to Ksh.1 million for MSME customers and Ksh.2 million to schools over and above the 95% and 100% asset financing. We are happy to announce that customers will have extended repayment tenure of 72 months and access to flexible digital working capital of up to Ksh 1 million, disbursed after approval and purchase of assets to enable them to restock their businesses with an optional repayment holiday of 60 days.”

“Under this partnership, CIC Insurance will offer insurance package for commercial vehicles at an average rate of %4 and 3.5% for schools,” said Patrick Nyaga, Group CEO CIC Insurance.

Under the deal, schools and learning institutions will have a one term moratorium when they purchase their buses. Repayment tenure has also been extended to 72 months on termly basis which adds up to 18 terms at 0% processing fee and a working capital of up to Ksh 2 million.