Muungano Microfinance Bank is redefining financial services in rural Kenya. Licensed on October 30, 2019, it is one of Kenya’s 14 approved microfinance banks and uniquely positions itself outside Nairobi, with its headquarters located in Kangari, Murang’a County.
Focusing on agricultural financing and rural entrepreneurship, Muungano Microfinance Bank empowers small-scale farmers and business owners through tailored financial solutions. This article provides a comprehensive look at the bank’s product portfolio and branch network.
Overview of Muungano Microfinance Bank
Unlike many financial institutions headquartered in Kenya’s capital, Muungano Microfinance Bank chose to base its operations in Murang’a County. This strategic decision underscores its dedication to serving rural communities, particularly those in Kigumo Sub County.
The bank’s primary mission is to enhance productivity and financial inclusion for small-scale farmers through innovative loan products and savings accounts. Its agri-business loans, in particular, are tailored to improve operations in the dairy and tea value chains, making it a vital partner for rural farmers.
Products Offered by Muungano Microfinance Bank
Muungano Microfinance Bank delivers diverse financial products, categorized into loans, savings, and current accounts.
1. Agricultural Loans (Kilimo Kisasa)
Muungano’s agri-business loans aim to boost productivity in farming by offering flexible financing options.
a) Muungano Maziwa Boost Loan
- Supports dairy farmers to increase milk production.
- Covers:
- Purchase of dairy cows.
- Construction of zero-grazing units.
- Acquisition of feeds, milk coolers, water tanks, motorbikes, and vehicles.
b) Muungano Majani Boost Loan
- Tailored for tea farmers seeking to optimize their yields.
- Covers financing for:
- Labour and tea-picking services.
- Pickers’ housing improvements.
- Water tanks.
- Development projects funded through tea bonuses.
2. Business Loans
a) Muungano Boresha Biashara Loan
- Provides working capital for SMEs.
- Includes LPO financing and asset acquisition.
b) Muungano Mradi Loan
- Designed for community-driven projects like dairy societies, schools, and chamas.
- Finances up to 70% of project costs.
c) Muungano Vijana Boost Loan
- Targets youth-led enterprises with funding for operational and project needs.
3. Personal Loans
a) Muungano Jijenge Loan
- Helps individuals meet personal and household needs, such as:
- Land purchase.
- Home renovations.
- Education and medical expenses.
b) Muungano Okoa Loan
- Offers short-term salary advances to handle urgent financial needs.
4. Savings Accounts
a) Haba Savings Account
- Ideal for entry-level savers.
- Features:
- Minimum balance of Ksh 400.
- Unlimited withdrawals.
- Earns interest.
b) Baraka Junior Savings Account
- Designed for children’s financial needs.
- Features:
- Opening balance of Ksh 400.
- Quarterly withdrawals allowed.
- Interest accruals.
c) Muungano Investment Account
- A group-oriented savings product for chamas and associations.
- Features:
- Minimum balance of Ksh 1,000.
- Flexible deposits and withdrawals.
- Interest-earning capability.
5. High Interest-Earning Accounts
a) Jiinue Fixed Deposit Account
- Suitable for those looking to grow their savings over time.
- Minimum deposit: Ksh 5,000.
b) Timiza Flexi Savings Account
- A contractual savings product for specific goals, such as weddings or school fees.
- Features:
- Minimum balance of Ksh 1,000.
- Allows for additional deposits.
- Attractive interest rates.
6. Current Accounts
a) Sasa Transactional Account
- Ideal for businesses requiring frequent transactions.
- Features:
- No minimum balance.
- Cheque book issuance.
- Unlimited deposits and withdrawals.
Muungano Microfinance Bank Branches
The bank operates from two main locations:
- Head Office – Murang’a County
- Location: Ground Floor, EastEnd Mall, Kangari.
- Contacts:
- Phone: 0706 974 747 / 0706 974 343 / 020-4404173.
- Email: info@muunganomfbank.co.ke.
- Nairobi Liaison Office
- Location: 7th Floor, Ngara Heights, Musindi Road.
- Contacts:
- Phone: 0706 974 747 / 0716 604 453.
Key Contributions to Kenya’s Economy
1. Financial Inclusion in Rural Areas
Muungano Microfinance Bank has filled a gap in rural financing by focusing on underserved communities.
2. Empowering Farmers
Through its Kilimo Kisasa products, the bank enhances agricultural productivity, enabling farmers to invest in assets and resources for better yields.
3. Promoting Savings Culture
Muungano’s savings products encourage individuals and groups to save, ensuring financial security for future needs.
4. Supporting Small Businesses
With products like Boresha Biashara Loan, the bank supports SMEs, fostering entrepreneurship and local economic growth.
Why Choose Muungano Microfinance Bank?
- Community-Centered Approach: With its base in Murang’a, the bank is uniquely positioned to understand and meet the needs of rural farmers and small-scale entrepreneurs.
- Flexible Financial Products: Muungano offers a wide range of loans and savings accounts, catering to diverse financial needs.
- Agricultural Focus: Its dedication to supporting dairy and tea farmers makes it a critical player in Kenya’s agricultural development.
Muungano Microfinance Bank is a trailblazer in rural financial services. Its dedication to agriculture, small business growth, and financial inclusivity positions it as a key partner for Kenya’s rural communities. Whether you’re looking for loans to boost your farming operations, support your business, or save for the future, Muungano Microfinance Bank offers tailored solutions to meet your needs.
Explore their products or visit one of their branches to discover how they can help you achieve your financial goals.
