NCBA has today introduced two leasing solutions, Solar PV and Executive leasing solutions, to the market. The bank, through its subsidiary, NCBA Leasing LPP, aims to lead by providing businesses with flexible financing solutions to transition to renewable energy, reduce their carbon footprint, and lower energy costs.
Compared to similar solutions in the market, NCBA Leasing will offer customers longer leasing periods ranging from 7 to 10 years, in contrast to the 3- to 5-year terms offered by competitors. The extended period will enable the bank to lower rental rates for its customers, providing them with more affordable solutions to meet their energy needs.
Speaking at the launch, NCBA Group Director, Asset Finance and Business Solutions, Mr. Lennox Mugambi, highlighted the importance of leasing solutions: “Our lease-to-own model provides businesses with an affordable way to adopt renewable energy without the financial strain of upfront costs. Longer lease periods, coupled with flexibility in payment options, ensure that clients can seamlessly transition to solar energy while realizing immediate savings.”
Last year, NCBA launched its sustainability commitment, “Change the Story,” and has been making strides in its climate action journey. Through the introduction of the Solar PV solution, NCBA aims to transition its customers to sustainable energy sources for their businesses. By reducing reliance on traditional energy sources, businesses will see a reduction in energy costs and enhanced control over their electricity expenses.
“The adoption of solar energy in progressive markets has demonstrated the profound effect it can have on both business sustainability and financial performance. With energy cost savings of up to 40% in the short term and increased value over the useful life of the system, solar has proven to be a game-changer for businesses looking to optimise their bottom line.” Said Mr. Mugambi.
Businesses adopting the Solar PV solution will also not incur incremental costs, as the lease function is an operational expense (OPEX), directly replacing a portion of the existing energy bills. This leasing structure provides a powerful financial advantage, as businesses can now enjoy lower monthly energy costs without the burden of upfront capital investments.
With businesses under growing pressure to align with global sustainability goals, this solution offers a practical way to contribute to a greener future while safeguarding financial stability.
