Kenya: Family Bank and Basigo Ink Electric Bus Financing Deal

Nairobi — Family Bank has inked a partnership with e-mobility startup BasiGo that will provide access to flexible financing options to buyers of electric buses.

The partnership will see customers enjoy up to 90 per cent financing, with an extended loan repayment period of 48 months for the purchase of electric buses in a bid to reduce greenhouse emissions and support the development of a sustainable public transport system.

This will assist in mitigating the long-term effects of climate change.

Rebecca Mbithi, Chief Executive Officer of Family Bank, said that with the collaboration, they will be able to provide the market with a workable solution to assist in lowering carbon emissions.

“Through this partnership, we will be offering financing for a 25-seater dubbed ‘BYD K6 BUS’ that requires far less maintenance than diesel-powered buses with zero transmission of gases,” said Mbithi.

The BasiGo K6 Electric Bus is available for Sh5million plus a Sh20 per kilometer subscription fee – Pay-As-You-Drive (PAYD).

Through PAYD, BasiGo mitigates the risks to PSV operators by guaranteeing battery performance and providing all charging and maintenance for the bus throughout its life.

The battery will be leased to the PSV operator via the PAYD battery subscription.

Once charged, the buses will have a driving range of 250 kilometers before needing another charge at BasiGo charging depots that will be strategically placed along the matatu plying routes, allowing transport operators to finish a full day’s work.

“Kenya is now in the middle of a transition to electric mobility. We have seen that the technology is viable in both the long and short term but allowing bus owners to secure asset financing for an electric bus exactly in line with how they have been purchasing diesel buses will be the game-changer that grows its adoption,” said Jit Bhattacharya the CEO and Co-Founder at BasiGo.

This agreement will add to the growing number of banks looking to finance PSV owners who want to buy environmentally friendly cars.

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