Mantrac Kenya through its mutual partner, CfC Stanbic Bank have hatched a plan to advance loans to county governments and contractors through asset financing deal to ease access to capital for the industry and spur growth in the counties.
The sole authorized dealer of Caterpillar products is eying huge government contracts in distribution of heavy construction equipment to tap into the planned massive roll out of infrastructure to the counties.
The company has affirmed it’s commitment for a long term distribution deal with the governments for its latest CAT branded equipment.
Under the arrangement, County governments will access subsidised loans from CfC stanbic to acquire the products from Mantrac with ‘reasonable repayment period.’
The new products launched in into the Kenyan markets are Hydraulic Excavators, series 2 Vibratory soil compactors, wheel loaders, motor grader and Track-type tractors suitable for mining and road construction works promising huge returns on investment.
The new equipment will be fitted with an electronic control module (ECM) to help track movement of fleet, fuel usage and how to effectively use idle hours.
“We offer complete solution to our customers and not just the equipment’s”. Our counties will be able to benefit from these solutions to ensure proper usage and maintenance of their equipment” Said Mantrac Kenya Managing Director,
Medhat Adly.
In 2013, Building and construction sector had Sh71.7 billion in gross loans and advances and the real estate sector accounted for 13percent or Sh194.9b of Sh1.45 trillion in gross loans that were advanced by Banks.
Mantrac is upbeat the new deal will significantly impact on local annual sales, boasting of after-sale services from its highly competent engineers strategically located across major towns in the country.
“We the CAT dealer are committed in ensuring that we partner with the contractors and county governments in Kenya to see that infrastructure in this country improves greatly” said Adly.
Mantrac has a wide network of service centers across its Nairobi, Kisumu and Mombasa branches.
Building and construction industry accounts for seven percent of the country’s gross domestic product, according to Kenya National Bureau of statistics (KNBS), but lack of sufficient capital has saddled growth of the manufacturing sub-sector.
