NAIROBI, Kenya, Jun 30 – Bank of Africa (BOA) Kenya, Ganatra Plant and Equipment, the sole authorised JCB dealer in Kenya and Uganda, have signed a Memorandum of Understanding committing to provide construction and agricultural businesses with asset financing covering up to 90 per cent of the cost of new machinery over a 60-month repayment period.
The agreement, formalised at a ceremony in Nairobi, represents the most structured financing arrangement Ganatra has entered into with a Kenyan bank since the family-owned dealership was established in 1982.
It signals a strategic shift away from outright cash sales toward finance-enabled access at a time when Kenya’s infrastructure pipeline is expanding faster than local contractors can capitalise on equipment.
A market defined by access barriers
Kenya’s construction equipment market is projected to grow at a compound annual rate of 5.5 per cent between 2025 and 2032, according to sector analysts, driven by government investment in roads, housing, and energy infrastructure, as well as projects under Vision 2030. The southern region, anchored by Nairobi, continues to account for the largest share of equipment demand.
Yet for most small and mid-sized Kenyan contractors, participation in this growth has been constrained by the capital cost of acquiring premium machinery.
JCB is ranked among the world’s top three construction equipment brands by global sales.
Sells machinery that ranges from backhoe loaders and excavators to telehandlers and has a hold on agricultural equipment, all at price points that have historically required either full cash payment or access to specialised equipment finance.
Ganatra, with over four decades of exclusive distribution rights for JCB across Kenya and Uganda, operates branches in Nairobi, Mombasa, Eldoret, Nakuru, and Kampala.
The company’s footprint makes it the primary gateway for JCB machinery into the East African market. Globally, JCB holds roughly 85 per cent of the backhoe loader market and around 90 per cent of the telehandler segment.
What the deal offers
Under the BOA-Ganatra arrangement, qualifying customers will be able to access financing equivalent to 90 per cent of the purchase price of JCB equipment, with the remaining 10 per cent payable as a deposit.
The balance is then repayable over five years, a structure that, at current interest rate levels, converts what would be a multi-million-shilling outright purchase into a manageable monthly liability.
JCB Managing Director Altaf Ganatra said the facility had been designed to serve the specific conditions of Kenya’s infrastructure moment. “During this infrastructure period, JCB Ganatra will put equipment in the market while offering longer repayment periods to help businesses fulfil their commitments,” he said at the signing ceremony.
Bank of Africa Kenya Head of Asset Finance Bernice Murigi (left) and JCB Ganatra Managing Director Altaf Ganatra shake hands after signing a Memorandum of Understanding (MoU) during the partnership signing ceremony between JCB Ganatra and Bank of Africa Kenya at GPE LTD Baba Dogo, Nairobi, on 29 June 2026. The agreement formalizes a strategic partnership aimed at expanding asset financing solutions for customers across Kenya.
BOA Head of Assets Bernice Murigi said the deal drew on the bank’s existing track record across agricultural and construction sector lending.
“The strong collaboration in finance, agricultural, and construction sectors will enable seamless services,” she said, adding that the 90 per cent financing ceiling and the 60-month window had been deliberately calibrated to reduce upfront barriers for smaller firms.
Suhhel Yakub, general manager of GPE, said the partnership represented a qualitative shift in how the company positions its products. “Through this partnership, JCB and BOA provide complete solutions by creating something powerful and an opportunity for businesses to grow with confidence,” he said.
He added that equipment durability was one of the most common concerns he encountered among prospective buyers, and that JCB’s operational track record across markets addressed this concern.
“Look for a machine with over ten years in the industry? and still working.” That machine will be a JCB,” he said.
The BOA financing arrangement gives Ganatra a competitive instrument beyond product specifications. enabling the company to convert potential customers who are priced out at the point of sale but creditworthy over the medium term.
BOA’s Philip Ngunyu said the bank was prepared to begin processing applications immediately. “The bank deals with vehicles and machinery and is ready for customers to provide services that enable the long-term acquisition of infrastructural products,” he stated.
For BOA Kenya, the deal expands the bank’s asset finance portfolio into the premium construction equipment segment at a moment when infrastructure spending across East Africa is accelerating.
The arrangement also provides the bank with a structured channel to originate equipment-backed loans, with Ganatra acting as a distribution and after-sales service partner.
East African market contractors working on government and large private contracts tend to prefer brands with established service networks. In this area, Ganatra’s four-decade presence and multi-city branch infrastructure provide a structural advantage.
The BOA-Ganatra MOU is expected to be operationalised immediately, with both parties committing to open and streamlined credit assessment to ensure that local contractors remain equipped to compete for Kenya’s expanding infrastructure pipeline.