Kenya’s NIC bank and Totoya kenya will be working together to see enterprises access 80% financing when purchasing Hino trucks from the auto dealer. This deal is only valid for trucks in the three tonne (300 series), four and six tonne trucks (500 FC series) with Ksh3.3 million, Ksh3.45 and Ksh4.5 million bodies, respectively. The three trucks are manufactured by Hino Motors, a Japanese maker of light and commercial vehicles.
Prospective buyers will have up to five years to repay the asset loan and a grace period lasting two months. The vehicles will be the principal collateral for the loan.
“We have seen a spike in demand for buses and trucks by businessmen in various sectors that include manufacturing and agriculture. But these people lack financing and this is the reason why we have brought on board a partner that will meet that demand,” said Toyota Kenya managing director Arvinder Reel.
“The partnership for Hino trucks presents a strong value proposition to small medium enterprises (SMEs) and individuals customers who are keen on expanding their businesses and buying new assets but face strained cash flows due to ever fluctuating economic situations in the business environment,” said NIC Bank Executive Director Alan Dodd.
“The repayment period ensures that the SMEs have enough time to pay for asset while ensuring that their businesses grow,” said Dodd.
Hino trucks are said to be among the most fuel efficient and reliable commercial vehicles with low emissions globally.
The Toyota and NIC deal comes just two weeks after Isuzu East Africa and Co-operative Bank announced a one year partnership that will see its mutual customers access 95 percent financing for vehicles assembled by the dealer.
