Safaricom has launched an improved credit solution for businesses by expanding its solutions to micro small and medium businesses.
Under the initiative businesses will have access to credit through an overdraft facility, that is Fuliza Biashara and a Term loan ‘Taasi Till’. Taasi Till is a business credit offers short-term credit ranging between Kshs 1,500 to Kshs 250,000 depending on eligibility.
Through Fuliza Biashara, Lipa na M-PESA Merchants can draw multiple overdrafts from a minimum of Ksh. 1000 to Ksh. 400,000 based on their assigned limit. As part of the revamp, merchants will now be able to repay their overdraft flexibly recovered when there’s inflow on the till to allow business continuity. The credit solutions are available via the M-PESA Business App or USSD *234#.
For businesses using Pochi la Biashara, ‘Taasi Pochi’ offers credit ranging from KES 1,000 to Kshs 250,000, available immediately on the Pochi wallet via the M-PESA App or USSD *334*8#.
To be eligible for credit for ‘Taasi’ and Fuliza Biashara, merchants must have had active tills or Pochi wallets for more than six months. Upon approval, funds are deposited directly into the user’s M-PESA wallet with flexible repayments periods of between 14 and 30 days.
“Businesses play a pivotal role in Kenya’s economy and make a significant impact in our communities. Leveraging the power of technology Taasi, will offer convenience and access to credit for MSMEs, allowing them to focus on scaling their businesses,” said Dr. Peter Ndegwa, Group CEO, Safaricom PLC.
Credit plays a vital role in the financial health of businesses enabling operations and funding key investments that spur growth. M-PESA continues to offer both businesses and individuals frictionless, safe and convenient financial services tools building a resilient and financially healthy Kenya.
By increasing access to affordable credit to Kenya’s entrepreneurs especially those in the informal sector, Safaricom and its partners target to drive financial inclusivity and unlock opportunities.