Kenya: M-Pesa Dealers Set to Benefit From KCB Loans
Safaricom has partnered with Kenya Commercial Bank to offer M-Pesa agents loans at 20 per cent interest, payable in 12 months.The bank has allocated Sh1.5 billion for the unsecured loan facility dubbed 'M-Pesa Agent mkopo na KCB'.
The agents can borrow six times their average commissions earned over a six month period, or a minimum of Sh50,000 and a maximum of Sh5 million.
Safaricom's chief executive Bob Collymore said the product is aimed at boosting the agents' trading capital popularly known as float.
KCB hopes the product will help to net a large section of the small scale entrepreneurs in the thriving mobile money business which has become the new competition frontier for banks.