Simba Corporation Limited has signed a memorandum of understanding with Absa Bank Kenya to expand access to asset financing for commercial vehicles, passenger cars and agricultural equipment.
The partnership falls under Absa’s Ksh.100 billion asset financing commitment, part of a revamped proposition the bank aimed at supporting investment, productivity and growth across key sectors of the Kenyan economy, sectors that employ and sustain millions of households.
Kenyans will access financing of up to 95% on commercial and passenger vehicles, 100% financing for school buses, and up to 90% for agricultural equipment
James Agin, Absa Bank Kenya’s Corporate and Investment Banking Director, said the deal was designed to widen access to financing for ordinary Kenyans and businesses alike.
“The signing of a strategic MOU with Simba Corporation Limited is expanding opportunities for individuals, businesses and the agricultural sector to access flexible financing for vehicles and equipment,” Agin said at the signing.
Also Read: Absa Group Stake in Kenyan Subsidiary up 71.99% to 189 Million Shares
The offering spans brands under Simba Corporation’s portfolio, including Mitsubishi FUSO, Ashok Leyland, Mahindra, SAME, Mitsubishi, MG and Proton.
Present during the deal signing were Simba Corp Executive Chairman Adil Popat, Head of Finance Fabian Baariu, and the company’s brand managers, alongside Absa Bank Kenya’s Director of Business Banking, Renato D’Souza, underscoring the weight both institutions are placing on the partnership.
For Kenyan farmers in particular, financing of up to 90% on agricultural equipment such as SAME tractors could translate into faster mechanisation for smallholder and mid-sized farms, an area analysts have long flagged as a constraint on productivity and yields.
Similarly, 100% financing for school buses removes a common hurdle for schools operating on tight capital budgets, particularly in rural and peri-urban counties.
The Absa-Simba deal follows a similar partnership Simba Corporation struck in June with Stanbic Bank Kenya, which introduced 100% asset financing covering vehicles, equipment and power solutions, complete with zero facility fees and risk-based pricing.
