Asset financier injects Sh44 billion in new investments in Kenya's economy

Mogo Kenya Deputy Country Manager Branton Mutea, Mogo customer Joseph Ng’ang’a and Mogo Head of Communications Valerie Kenyanito during the Mogo @7 celebrations. [James Wanzala, Standard]

Regional motorcycle and smartphone financier, Mogo Kenya, has injected more than Sh44 billion into Kenya's economy over the past seven years, supporting more than 500,000 Kenyans in accessing productive assets that are creating jobs, supporting entrepreneurship and strengthening livelihoods across the country.

This comes at a time when a new report by Viffa Consult notes that Kenya's boda boda industry generates an estimated Sh660 billion annually, contributing 4.4 per cent of the country's Gross Domestic Product (GDP) and directly supporting more than 2.5 million livelihoods, making it one of the country's largest sources of employment and last-mile transport.

 The report, dubbed the Boda-boda Boom: Thriving Societies, Growing Economies and Powering Green Transition, notes that boda boda transports approximately 40 per cent of goods within urban areas and more than 30 per cent of agricultural produce from farms to markets, underscoring their importance to trade, agriculture and household incomes.

The report also shows that riders who move from renting to owning motorcycles through asset financing can save more than Sh440,000 over five years, while 67 per cent of riders say ownership provides a much higher level of financial security than renting.

Ownership enables riders to retain more of their daily earnings, invest in businesses, educate their children and build long-term wealth.

Since entering the Kenyan market in 2019, Mogo has grown into one of the country's leading asset financing companies, building a loan portfolio of more than $300 million (about Sh44 billion), expanding its presence across all 36 counties with more than 90 branches, creating over 1,800 jobs, and establishing a network of more than 2,000 business partners.

The company's financing has primarily supported Kenya's informal sector, where access to productive assets such as motorcycles, smartphones, vehicles and logbook loans enables entrepreneurs to generate income, grow businesses and improve household livelihoods.

"Over the last seven years, we have focused on giving Kenyans access to productive assets that generate income and improve lives. Today, more than half a million customers have trusted Mogo with their ambitions, and we are proud that our financing continues to create opportunities for entrepreneurs, strengthen small businesses and contribute to Kenya's economic growth," said Deputy Country Manager at Mogo Kenya Branton Mutea.

Motorcycle financing remains Mogo's largest business, reflecting the critical role the sector plays in Kenya's economy. Four out of every five motorcycle loans issued by the company are taken specifically for income-generating purposes, demonstrating how access to affordable asset financing is helping thousands of young Kenyans transition into entrepreneurship.

Speaking during the anniversary celebrations, Chairperson of the Digital Financial Services Association of Kenya Kevin Mutiso said financing productive assets creates lasting economic value because it enables people to increase their income rather than credit consumption.

"When thousands of people gain access to productive assets, the impact extends far beyond individual households. Families can pay school fees, businesses expand, local spending increases and communities become more economically resilient. Productive asset financing is not just about providing credit; it is about creating sustainable livelihoods and supporting inclusive economic growth," said Mutiso.

 Beyond motorcycles, Mogo has diversified its financing portfolio to support Kenya's growing digital and transport economy. The company has financed more than 200,000 smartphones in Kenya, enabling traders, transport operators and small business owners to participate more effectively in digital commerce.

 The company has also invested in programmes that promote responsible lending and customer resilience. Mogo has reached thousands of boda boda riders through financial literacy initiatives, distributed more than 50,000 reflector jackets to improve road safety, and launched SAKA, a digital platform whose emergency response system has helped recover 60per cent of motorcycles reported stolen.

Leaders from Kenya's boda boda sector credited Mogo with helping thousands of young people move into self-employment by making motorcycle ownership more accessible. Many riders who have completed their motorcycle repayments have progressed to financing cars, while others have used logbook loans to pay school fees, expand businesses, and invest in property.

 Mogo says it will continue investing in responsible financing, expanding financial inclusion and supporting entrepreneurs whose businesses contribute to employment, household incomes and sustainable economic growth across the country as it looks forward to the one million served customers milestone.