KWFT licensing boon for small scale borrowers

Feature: Kenya Women Finance Trust (KWFT)is a member of INAFI Africa

By GEOFFREY IRUNGU

Small scale borrowers are likely to get cheaper credit following the licensing of the second deposit-taking microfinance (DTM) institution — the Kenya Women Finance Trust.

The trust — which will assume the name Kenya Women Finance Trust Deposit Taking Microfinance Limited (KWFT DTM), joins Faulu Kenya which was licensed a year ago.

Another eight firms are waiting for similar licences.

The two institutions can leverage on the cheaper deposits from their customers, a development that should also lead to cheaper credit for the same customers.

KWFT DTM had to raise its borrowings by a massive 49 per cent or Sh1.1 billion to Sh3.3 billion in 2008 in order to continue giving out loans. Read more