This archive report was first published on 19 July 2021.
July 19, 2021 - Faulu Microfinance Bank is expanding its presence in Kenya's rift valley region by increasing financial support to small enterprises.
The bank plans to lend over Sh1 billion to farmers, traders, contractors, manufacturers, and property developers in Nakuru, Nyandarua, and Laikipia counties, which are among the fastest-growing business and economic hubs in the region.
Speaking at the launch of a new branch in Nakuru Town, Faulu Bank Chief Executive Officer Apollo Njoroge said the bank is implementing a Sh3 billion package targeting small enterprises over the next three years.
"Faulu is keen on strengthening its presence in the counties, where the economic action is taking place, by providing much-needed financial support to improve the capacity of small enterprises to take advantage of unfolding trade opportunities at the devolved level," said Njoroge.
The bank is offering trade and asset financing to growing businesses in the county, involved in value addition activities in agro-processing, manufacturing, horticulture, dairy, and housing.
Trade finance products include Local Purchase Order (LPO) and Local Service Order (LSO) financing, invoice discounting, supply chain financing, tender/bid bonds, advance payment guarantee, retention bond, payment guarantees, and customs bonds.
The bank will also provide crop insurance to farmers through its bancassurance agency.
Nakuru County Governor Lee Kinyanjui welcomed the move, saying the county is open to business and is keen on partnering with businesses to advance the economic and social development agenda.
Laikipia County Governor Ndiritu Muriithi hailed the decision by Faulu as an endorsement of the county to investors.
