The National Bank of Kenya (NBK) has has pledged a Sh2 Billion fund dedicated to the Inuka Programme in support of SMEs.
This fund will be mainly availed through working capital funds, asset finance and capacity building mainly to women and youth entrepreneurs n the country.
The decision comes after a review of interest rates for borrowing customers and depositors following the signing of The Banking (Amendment) Bill, 2016 into law by the President Uhuru Kenyatta.
The bill under section 33B1 (a) sets the minimum interest rate chargeable for a credit facility at 4% above the base rate set and published by the Central Bank of Kenya.
“National Bank is a compliant bank and a true partner who listens to our customers. We continue to lead the market with competitive rates, true to our foundation objective which remains to be the leading bank enabling inclusive access of low-cost credit to all Kenyans,” said Ag. Managing Director and CEO, Wilfred Musau.
Musau added that prior to the bill being assented into law, National Bank had taken leadership by reducing its rates by 1% in response to the earlier reduced Kenya Bank's Reference Rate (KBRR).
“National Bank continues to enjoy patronage and goodwill from Kenya nationals because of our value and commitment to meeting their enterprising spirit with affordable credit. The bank is launching its Small Enterprise offering to customers this month with more inclusive products and services that are affordable and easily accessible throughout the bank’s network and other integrated channels,” said Musau.
Currently, the bank has over 80 branches, over 1500 agents countrywide and access to over 1,000 ATMs.