By Okong’o Oduya
Busia County, Kenya: Communities living in Busia County in Kenya have been urged to embrace the culture of saving to help them easily access financial assistance at an affordable interest from financial institutions.
Busia women representative to the National Assembly Florence Mutua, said Busia County is lagging behind economically because its people are yet to realize the importance of saving. Mutua says savings is the only way SMEs can be able to access affordable loans depending on the amount of money one has saved from the financial institutions.
“People of Busia and western region at large, need to embrace the culture of saving. We need to stop this habit of consuming everything we earn. If you make sh200 a day, save sh50, when you put together the fifty shillings in a year, you have money that can help you pay school fees, start a business or carry out your business without the hustle,” Mutua said.
Addressing stakeholders and small and medium enterprises business persons in Busia during the elevation of Faulu bank in Busia from the service center, Mutua urged the financial institutions to offer affordable products to business people of Busia as an encouragement for them to go for the loan.
She urged business people to come together and form groups as a way of enabling them to access financial help such as grants, not just from government institutions but other funders such as banks at affordable terms.
“I would like to encourage business people to form self-help groups. Any help from my office, county or national government and banks will be directed in these groups and not individual, you cannot get help as an individual,” she advised.
Apolo Njoroge, Managing Director, Faulu Microfinance Bank Limited noted that the bank intends to reach the common citizens with various and affordable products that will see them improve their livelihood.
“It is our ambition to build a greater partnership across the country in support of vision 2030 and Kenya’s Big Four agenda pillars around manufacturing, universal healthcare, affordable housing, and food security,” Mr. Njoroge said.
Apolo says the bank has been upgrading most of their sales and services centers across the country into banking branches to improve their services to their clients. The current one being the Busia one after upgrading the one in Ugunja in Siaya county last year.
“This is a branch that started as a marketing office and our customers here used to go to Mumias to access their money. We are happy that finally, we can give our customers services right here. We have so far 3000 customers in Busia and we are very thankful for the support you have given us.
He further said as a bank they plan to roll out many plans to ensure that they continue empowering their clients. He says the plans include partnering with the Research Triangle International (RTI) to extend Kenya Crops and Dairy Market System program to people to those who want to invest in dairy farming and those who are interested in horticulture business to give them affordable finance with flexible payment terms that will enable them to grow economically.
He further said they have partnered with the car and general and Bajaaj to be able to help Boda Boda rider get an affordable motorcycle and be able to pay as little as 300 shillings daily to enable them to own these motorcycles.
“Youths who have been jobless we believe that we have good opportunities for you to enable them to take advantage of this rich heritage of this fertile county and we have no doubt we are very well placed to be able to support you,” Njoroge said
Busia County Executive Committee member department of finance Ms. Phaustine Barasa said the county government will provide a conducive environment for the bank to operate in the county adding that the county government is supporting a number of self-help groups in empowering them economically through grants.
“As a county government we already have groups we are supporting, last week we gave out 20 million shillings to a number of groups. Such groups we will encourage them to work closely with the bank and other financial institutions to finance them,” she said.
She urged the bank through their partners such as USAID to boost agriculture and horticulture adding that if the bank fully invests in agricultural-related loans, it will boost the economy of Busia County as a whole.
