How Family Bank, World Navi asset financing deal will benefit car importers in Kenya

In Kenya, second-hand cars dominate the local market, comprising 85% of the country's car purchases. This trend is expected to rise following the recent partnership between Family Bank and World Navi, offering customers access to asset financing for importing vehicles. Daniel Azenga, Family Bank's Senior Manager for Asset Finance and Supply Chain Financing, sheds light on the innovative deal. The collaboration between Family Bank and World Navi aims to streamline the vehicle importation process for customers. Azenga described the partnership as an end-to-end solution where clients can select a vehicle directly from Japanese auctions. Family Bank provides favorable financing rates, World Navi handles the importation, ensuring the vehicle reaches the customer seamlessly. Azenga emphasized the significance of eradicating negative experiences faced by customers dealing with importation companies. The alliance with World Navi, a trusted partner offering technical guarantees, quality inspections in Japan, comprehensive insurance, evaluation services, and warranties, ensures customer satisfaction. Additionally, customers receive a free service, a full tank of fuel, and peace of mind regarding the vehicle's quality. The unique features of this collaboration set it apart from traditional asset financing offerings. With 80% financing for 48 months, along with a range of value-added services, customers benefit from a comprehensive and reliable vehicle acquisition process. Family Bank's strategic move into the used car market is driven by a desire to expand its market share and offer SMEs access to high-quality vehicles. The partnership with World Navi presents a lucrative opportunity for the bank to enhance its customer value proposition and cater to the growing demand for quality cars. Despite a recent 30% price surge in used cars due to currency fluctuations, limited vehicle supplies, and rising shipping costs, Azenga remains optimistic about the venture. He believes that the partnership will address the demand for quality vehicles and offer reassurance to customers, including non-Family Bank clients. With the backing of World Navi, known for its reliability in vehicle shipping, the collaboration is poised to deliver value amidst market challenges. Addressing concerns around currency fluctuations, Family Bank assures customers of a stable financing environment. By pegging costs in Kenyan shillings and covering any exchange rate variances, the bank ensures price consistency and customer confidence throughout the asset financing process. This commitment to transparency and reliability reinforces the trust customers can place in the collaboration between Family Bank and World Navi. The partnership between Family Bank and World Navi heralds a new era in vehicle financing in Kenya. By offering a seamless, value-driven experience, the collaboration is set to empower customers, streamline import processes, and elevate the standards of the local car market. With a focus on quality, reliability, and customer satisfaction, this alliance presents a promising opportunity for car importers in the country.