Absa Is Giving Private Schools Loans To Pay Teachers

Absa Bank Kenya MD,Jeremy Awori

Absa Bank Kenya is now giving private schools in the country and overdraft loan facility that will enable the institutions pay their teachers' salaries during this COVID-19 pandemic.

Because the Govt asked for closure of all learning institutions, the private schools are now badly hit by lack of funds to run the  facilities and pay their workers.

The bank has allowed private school to take overdraft loans of up to ksh 10 million to help in sustaining the institutions.

 “The bank is offering a short-term financing option to help schools cater for their recurrent expenses such as salaries. Under this arrangement, schools can access up to Sh10 million in unsecured overdrafts and short-term loans,” Absa Bank Kenya managing director Jeremy Awori

Private schools depend on school fees paid by parents as their only source of funds .Now that this source is cut,many of these schools are on their way to collapsing as businesses.

Absa also promised to aid in buying of e-learning equipments which probably will be the source of funds for the institutions as students will take classes from home and parents will pay.

“Absa Bank will support schools to procure e-learning infrastructure including the hardware and software required to enable e-learning during this period,” Mr Awori said.

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