July 24, 2023
KCB, one of Kenya’s leading financial institutions, has announced a groundbreaking partnership with the United Nations Institute for Training and Research (UNITAR) to launch an ambitious plan to sell 100,000 electric bikes in the country within the span of a year. This bold initiative is in line with KCB’s commitment to achieving net-zero emissions and transitioning its entire loan portfolio towards sustainable green investments by the year 2025. The move is expected to have a significant impact on Kenya’s transportation landscape, promoting eco-friendly mobility and reducing carbon emissions
The electric bikes, also known as E-bikes, are set to be priced at Kes. 350,000 each. To facilitate accessibility and adoption, KCB Foundation will offer customers loans with a moderate interest rate of 13%. This financing option will enable potential buyers to repay the loan over a period of two years, making the transition to electric bikes more feasible and affordable.
The announcement has been met with enthusiasm and positive responses from various stakeholders who recognize the importance of such initiatives in combating climate change and promoting sustainable practices. By opting for electric bikes, riders can significantly reduce their carbon footprint and contribute to a cleaner and greener environment.
However, some industry experts have raised questions regarding the feasibility of selling such a large number of electric bikes within a year. Kenya’s motorcycle-taxi sector, commonly known as ‘boda bodas,’ already comprises approximately 1.2 million vehicles. Convincing a substantial portion of existing motorcycle owners to switch to electric bikes could be a challenge, given factors such as cost and infrastructure limitations.
Nonetheless, KCB Foundation remains optimistic about the initiative’s potential impact on Kenya’s transportation sector. The move towards electric bikes aligns with the Kenyan government’s efforts to encourage sustainable transportation alternatives and reduce the country’s carbon emissions. Additionally, the partnership with UNITAR provides an opportunity for the bank to leverage international expertise and resources to drive awareness and adoption of eco-friendly transport options.
If successful, this partnership could serve as a model for other financial institutions and countries looking to invest in sustainable initiatives and address climate change. By combining financial support with environmentally friendly products, KCB Foundation and UNITAR are pioneering a path towards a greener future.
The launch of the electric bikes sales initiative is scheduled to take place in the coming months, with KCB Foundation actively promoting the benefits of electric transportation through targeted marketing campaigns and community engagement. As the project gains momentum, all eyes will be on Kenya to see if this ambitious goal can be achieved, setting a precedent for other countries to follow suit in the pursuit of sustainable, carbon-neutral economies.
photo source: google
Delino Gayweh
Serrari Financial Analyst
