Oikocredit East Africa

Type of loans offered
Loan size: from 50,000 to 2 million euros or the equivalent thereof in other currencies. In exceptional cases, larger amounts may be considered;
Interest rate: reasonable and flexible considering market rates for comparable transactions as well as the risks and development relevance of the project;
Term of loan: from 1 to 6 years;
Grace period: depending on the type of project and project cashflow. From 6 months up to 36 months;
Repayment schedule: flexible to suit the project’s need;
Fees/commissions: Oikocredit applies fair and transparently calculated fees and commissions. In most cases, Oikocredit charges a standard arrangement fee of 1%;
Securities: suitable securities are required from the borrowing institution and its representatives to ensure serious commitment to the success of the undertaking.

Procedure for getting a loan
The project should fill out a form provided by Oikocredit’s office and submit it together with financial statements for the past three years.
Oikocredit will conduct one or more field visits for appraisal and if satisfied will take the proposal forward for approval to the Credit Committee of the International Office in the Netherlands.
Once approved, the legal process will start. When all the legal papers are found adequate, the loan amount will be released. Thus in more or less 12 weeks credits can be disbursed.