NCBA, HEVA to offer creatives financing at 9pc interest
Speaking on Capital FM, NCBA Product Manager for Commercial and SME Lending Michael Owino said the bank had recognised that creatives can operate viable businesses despite the different nature of their income streams.
NAIROBI, Kenya – NCBA and HEVA Fund have teamed up to provide credit for Kenya’s creative industry at a concessional interest rate of 9 percent. The partnership targets artists and creative businesses seeking capital for equipment, working-capital needs, event financing, and business expansion. NCBA Product Manager Michael Owino explained that the bank recognized creatives as viable business enterprises that can convert their skills into bankable ventures.
HEVA Investment Director Pam Mutembei emphasized the partnership's aim to change how financial institutions perceive the creative sector by viewing artists as bankable businesses. The financing provides solutions for event financing, invoice discounting, LPO financing, working-capital financing, and start-up incubation, with an initial facility valued at KSh20 million and equal contributions from both HEVA and NCBA.
Repayment options are tailored to the income cycles of creative businesses, allowing payments on a quarterly or periodic basis. The partnership intends to enhance NCBA's collaboration and serve customers better by scaling businesses to the next level. The initiative also includes financial literacy, mentorship, and pre- and post-investment readiness training.
HEVA has lent over KSh1.2 billion to the creative sector in the previous year, as stated in an interview with Capital FM. The partnership is part of NCBA's wider engagement with the creative economy, including a start-up incubator and risk-sharing facility developed with HEVA. Interested creatives can apply through NCBA and HEVA's respective websites or branches.
Written by urgent.news from Capital Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
