Absa Bank Kenya and Simba Corporation partner for asset financing

Absa Bank Kenya and Simba Corporation have established a strategic partnership to expand access to commercial, passenger, and agricultural equipment through specialized asset financing. The initiative is part of Absa’s Kshs 100.0 billion Asset-Based Finance 2.0 commitment, which aims to support sectors such as logistics, manufacturing, healthcare, and agriculture.

A key feature of the agreement is the provision of up to 100% financing for certain assets, such as school buses, which removes the traditional requirement for a 20% to 30% down payment. This structure is intended to lower entry barriers for small and medium enterprises (SMEs) and individual farmers who may lack immediate liquidity but possess the capacity for monthly repayments. Other terms include financing up to 95% for commercial vehicles with repayment periods of up to 72 months, and up to 90% for agricultural machinery over 60 months.

The partnership seeks to drive mechanization in Kenya’s agricultural sector by making tractors and harvesters more accessible. By linking credit directly to tangible productive assets, the arrangement provides security for the lender while utilizing Simba Corporation’s distribution network and after-sales support to reach customers.