Kenyans can now sigh a sign of relief after Safaricom reduced the charges on on Fuliza by at least 50%. Fuliza has been a household overdraft facility among Kenyans. The facility has seen the biggest growth among its peers in both the offline and online financial markets.
During his campaign, The President had promised Kenyans that the price of CRedit will go down.This is a promise that the president seems to have kept after attending a high level powered meeting.
The meeting was initially scheduled as a media invite by the owners of Fuliza. KCB bank, NCBA bank and Safaricom control the entity that owns the overdraft Facility. in their Joint press release the NSE listed companies declared that they have cut the cost of the overdraft by half. They also introduce a three day grace period where Kenyans will be able to repay without any interest.
The cost of credit has been a major problem for small business. According to data seen by https://www.iconnews.co.ke most small enterprises are not able to access credit. When the small enterprises access credit it is usually at very high costs that may lead the business to bankruptcy.
When the president was addressing the gathering he indicated that he was there on behalf of the common Mwananchi. He claimed that Mwananchi was not able to access high offices so he has to do it for them.