NCBA Bank’s Dominance in Kenya’s Vehicle Loan Market Explained

Why Over 1 in 3 Vehicle Loans in Kenya Is from NCBA Bank

This might not be on any billboard anywhere in Kenya, but NCBA Bank has quietly—but powerfully—become Kenya’s undisputed leader in car financing, generating more than 35% of all vehicle loans issued in Kenya.

This means over 1 in 3 cars on the road are financed by NCBA.

According to an NCBA spokesperson, “This isn’t just a case of good marketing. It’s a story of smart partnerships, flexible products, and a customer-first mindset that puts the customer front and center. Our edge lies in our ability to create products that align with the realities of our Kenyan consumer, whether salaried or a business owner”.

NCBA stands shoulder apart from the rest as it gives up to 90% financing for new vehicles, up to 80% for quality pre-owned vehicles, repayment terms of up to 60 months and a 60-day repayment holiday to ease financial on-boarding.

NCBA Bank’s goal is more about sustainable ownership than just loans approved. The firm has also signed strategic partnerships with top Kenyan auto dealerships such as Isuzu, CFAO Motors (Toyota), Simba Corp, and Inchcape for quick loan and vehicle approvals-sometimes less than a record 24 hours. The B2B agreements have also led to better car pricing and insurance financing, and quick delivery and documentation.

NCBA’s digital tools have also helped in disbursing loans to these car buyers. Platforms such as LOOP, M-shwari, and NCBA NOW app allow customers to save, borrow, and track loan applications, make repayments and get support on the go. Paperless banking has made the process faster and cheaper with less bureaucracy and higher customer satisfaction. 

It’s this satisfaction that has seen NCBA grab 35% market share in vehicle financing, disbursed KES 1 trillion+ in digital loans, reduced its default rate to below 2% and saw a utilization rate above 67%.

Offline, NCBA has over 119 branches in Kenya, allowing its customers to walk into any branch to access auto finance, support, or business mentorship through its various workshops. NCBA Auto Finance is being sought by corporate fleet managers looking for volume deals, SMEs looking for vans, pickups, and trucks for their businesses, and firms in the logistics sector that want to grow their fleets. There are also salaried individuals looking to buy or upgrade their cars and those in the transport sector who want a new fleet of Matatus or PSV buses. Taxi-hailing apps have also led to an increase in car loans.

There is an issue of affordability as well regardless of the buyer profile, NCBA’s flexible, accessible terms and low upfront cost make it an ideal fit hence NCBA isn’t just financing vehicles but moving Kenya’s economy, one vehicle at a time.

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