Micro retailers to get Unilever products on credit

Small shop owner Sarah Macharia receives products from Mastercard head of East Africa Region Adam Jones (left), KCB head of channels Dennis Njau and Unilever sales director for East Africa Luck Ochieng during the launch of Jaza Duka programme in 2019. FILE PHOTO | NMG

By JAMES KARIUKI
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Summary

• Listed lender, KCB Group and consumer products maker, Unilever, have partnered with payments technology firm, Mastercard enabling retailers to obtain products on credit.
• The three firms launched a Sh16.5 million credit scheme dubbed, Jaza Duka programme aimed at enabling micro-retailers get goods on credit as a way of rebuilding businesses ravaged by the Covid-19 pandemic.

Listed lender, KCB Group and consumer products maker, Unilever, have partnered with payments technology firm, Mastercard enabling retailers to obtain products on credit.

The three firms launched a Sh16.5 million credit scheme dubbed, Jaza Duka programme aimed at enabling micro-retailers get goods on credit as a way of rebuilding businesses ravaged by the Covid-19 pandemic.

Mastercard Center for Inclusive Growth(MEA) regional director Natasha Jamal said the partnership builds on a two-year pilot that saw micro-retailers facilitated to keep their business running throughout the harshest period of the Covid-19 pandemic and beyond.

Products distributed to each retailer will be informed by data distribution from Unilever where Mastercard will analyse the same and generate micro-credit eligibility recommendations that will be submitted to KCB Bank.

KCB will use the data to assess a retailer’s creditworthiness and extend formal credit for stock purchases, which is interest-free for up to 17 days.

“Facilitating access to capital throughout the pandemic and by overlaying that with additional financial and non-financial assistance for retailers via Jaza Duka, we helped merchants rebuild and position themselves for a more resilient future,” she said.

Unilever Kenya general manager Luck Ochieng said Jaza Duka enhanced their market niche while enabling retailers to access products on time thereby cashing in on demand.He said the programme enabled retailers to sell more products while building a favourable credit profile.

‘Jaza Duka’, Swahili for ‘fill up your store’, is part of Mastercard’s Track Micro Credit Program that avails a credit ecosystem for small retailers experiencing cash constraints by enabling them to access short-term credit.