Those targeted are clinics, hospitals and laboratories with a maximum of 300 employees, who will access 90 percent asset financing of up to KSh200 million.
The deal reached between IFC’s Africa Medical Equipment Facility and Co-op Bank seeks to offer the small and medium-sized healthcare businesses local currency loans for purchase or lease of medical equipment.
She made these remarks during the launch of a small business training programme under Medical Equipment Facility.
The financed asset will be the primary security and all risk insurance cover will be provided through Co-op Bank Bancassurance.
The repayment period for loans accessed under the scheme extends to 60 months and not the usual 36 months, while the interest rate is at 10 percent compared to the banking industry’s average of 12.1 percent.
Training healthcare SMEs will enable them plan, budget and do procurement of advanced medical equipment they need to serve patients. The training program is supported by the Government of Norway