Matatu sacco seals car-leasing deal with Co-op Bank
Super Metro PSV Sacco Chairman Nelson Nduki (left) together with Isuzu East Africa Division Director Sales and Marketing Kangangi Wanjohi flag off some of 25 buses leased to the matatu sacco in a deal financed by Co-op Bank in this picture taken on July 29, 2020. Co-op Bank, Isuzu East Africa and Metro Trans PSV Sacco have sealed a similar deal. Jeff Angote | Nation Media Group
Matatu operator Metro Trans PSV Sacco yesterday received 45 units of 33-seater Isuzu buses following a leasing pact with Co-op Bank.
The Sh238 million deal is part of a zero deposit bus leasing plan worth Sh530 million where 100 units of 33-seater Isuzu buses will be delivered to the Nairobi-Kiambu and Nairobi-Thika commuter bus company.
Metro Trans PSV Sacco chairman Oscar Rosana termed the leasing deal a cheaper avenue to enhance their capacity to meet customer needs.
Win-win arrangement
Isuzu East Africa Managing Director Rita Kavashe called the deal a win-win arrangement where operators will be given vehicles to manage and pay leasing fees over the next four years.
“Covid-19 has hurt the matatu sector and to mitigate this, we and our dealer, Central Farmers Garage had earlier handed over 25 vehicles under this leasing deal from Co-op Bank,” she said.
Co-op Bank Fleet Africa Leasing chief executive Robert Mbugua said this was a cost-effective way for PSV saccos to access new vehicles and pay monthly or quarterly instalments against the vehicle cost as it continues to generate cash for them.
