KENYA – KCB Foundation, a foundation by KCB Bank Group, and the United Nations Institute for Training and Research (UNITAR) are set to invest KSh38.7 million (US$0.32m) to promote the use of electric motorbikes by bodaboda riders in Kenya.
The pilot phase will kick off in Nairobi, Kajiado and Machakos counties, and will see 150 motorcycle riders onboarded into the programme.
The programme involves a user acceptance test, the establishment of a lending scheme for bodaboda riders, and providing skills training through 2Jiajiri, SACCOs, Associations, motorcycle dealers, and various government departments to support the transition to clean energy.
KCB CEO Paul Russo noted that the partnership with UNITAR is part of the multi-pronged approach by the Bank to work with like-minded partners to support poverty alleviation and job creation efforts in line with sustainable development needs.
“Through the e-mobility programme with UNITAR, we seek to make it possible for players in the transport sector to acquire electric motorbikes at an affordable rate and earn a living,” Russo said.
According to the National Transport and Safety Authority, there were nearly 1.9 million registered motorcycles in Kenya as of 2018.
In 2021, NTSA registered 285,203 motorcycles compared to the 186,434 registered in 2017.
The sub-sector provides more than one million direct jobs for riders who earn roughly less than US$10 a day. This translates to roughly KSh60 billion (US$496.28m) yearly in government revenue through taxes, levies and other charges.
KCB recently announced a partnership with BasiGo Ltd that will see customers access financing to buy electric buses. KCB customers will be able to access financing to buy BasiGo electric buses.
KCB Foundation was established in 2007 to implement KCB Bank Group’s corporate social investments. The Foundation’s programmes are designed to address issues within the thematic areas of: enterprise development, education, health, environment and humanitarian intervention.
The group also says that it is aligning its green loan portfolio to be at least 25% of the total loan portfolio by 2025, including going beyond by allocating capital and steering financial flows towards more investments and assets that are necessary for transitioning low carbon, climate resilient activities.
Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals, and insights from Africa’s business, economy, and more. SUBSCRIBE HERE
