More banks join Fight against Covid-19 receives boost with a loan facility for Water Service Providers
Water Service Providers (WSPs) will have access to Sh506.26 million (4 million Euros) to enhance sufficient water provision in the ongoing fight against Coronavirus.
The Sidian Bank in partnership with Aqua for All yesterday launched a Covid -19 Wash loan facility targeting Micro, Small & Medium Enterprises (MSME’s) in the water and sanitation value chain.
Speaking during the launch at a Nairobi hotel, the bank’s Chief Commercial Officer, Timothy Gitonga said Sidian Bank, Aqua for All and Davis&Shirtliff came together to bridge the service and financial gaps in the sector, where water is in demand during this Covid-19 pandemic period.
“This partnership is aimed at mobilising additional resources in form of a loan facility to support the Government’s Emergency Response for COVID-19 pandemic,” he said.
Gitonga noted that since the COVID-19 pandemic has affected Kenyans and livelihoods, the institution finds it crucial to scale up innovative solutions for WSPs through short-term financing facilities in working capital, asset and project finance.
He said the partnership is also aligned with Aqua for All’s efforts to mobilise public and private capital to facilitate the scale up and sustainability of water and sanitation MSMEs and to achieve SDG 6.
“The safety of Kenyans is paramount. This partnership has come at an opportune time when the country is in dire need of innovative solutions to ensure that we are providing sustainable financial solutions for Kenyans.
“Sidian Bank is committed to backing the government in combating this pandemic by supporting our customers with financing to sustain WASH services for 2.5 million low-income population affected by COVID-19 in Kenya,” he added.
Speaking virtually from Netherlands, Aqua for All Regional Program Manager in charge of East Africa, Marlies Batterink, the current health crisis in the world requires immediate action.
“We are delighted to partner with Sidian Bank to develop an innovative finance facility in support of water, sanitation and hygiene MSMEs in Kenya and of government efforts to fight COVID-19. The current crisis urges immediate action.
“Water and sanitation MSMEs must continue operating and expanding their reach to safeguard access to essential services for millions of Kenyans, especially those on low incomes, during the COVID-19 crisis and to pave the way to build the sector’s resilience in the future,” she said.
Gitonga said the bank has targeted the micro, small and medium enterprise (MSME) sector by providing an array of banking services and solutions.
“Empowering our customers is what our brand stands for, which we have been able to do through supporting and financing our customers in the Water, Sanitation and Hygiene sector to a tune of Sh700 Million. I call upon all MSMEs in the WASH sector to leverage on this opportunity as it will go a long way to benefit the Kenyan economy,” he ended.
The institution will provide Working capitals, LPO financing , Asset financing and any other needs which are meant to address Covid -19 pandemic in the W-A-S-H sector.