Microfinancier eyes change in lending status

Nairobi; Kenya: Microfinance institution, Musoni Kenya Ltd, has announced plans to convert from a credit microfinance institution to a deposit taking micro lender.

Chief Executive Officer James Onyutta said they are working to improve operations in readiness for licence application to the Central Bank of Kenya.

"We are in very close steps of submitting our certificate request to CBK and hope to start as a deposit taking institution by 2015," he stated. Once the proposal is accepted, Onyutta explained the ambitious growth strategy will increase their product portfolio and serve their clients better by encouraging a saving culture.

For it to be licensed, the regulator requires Musoni to have a minimum of Sh60 million for its nationwide operations. "We have a solid capital base and can meet the regulatory requirements," he noted.

The CEO observed that they enjoy excellent support from their development partners, with an eye on improving financial inclusion among the rural population. Its partners include Musoni Netherlands, the technology service provider, Grameen Foundation, KFW Bank and the MicroVest Capital Funds.

.

Keep Reading business

•  NCPB sets in motion plans to compensate farmers for fake fertiliser
•  Governors reject revenue Bill, demand Sh439.5 billion allocation
•  Firm linked to fake fertiliser calls for arrest of Linturi, NCPB boss Premium
•  KPLC to pay Sh500 million for Nakumatt fire tragedy
•  Scented success: Passion for cologne birthed my venture Premium