The Ministry of Treasury and National Planning has invited all civil servants to apply for car loans under the Motor Car Loan Scheme Fund.
In a statement released on Thursday, February 5, the Treasury explained that all state and public officers, irrespective of their job group, were eligible for the car loan.
It explained that the purpose of the scheme was to enable eligible officers to access affordable motor vehicle financing to support safe, reliable mobility, reduce personal financial strain, and enhance efficiency and effectiveness in public service delivery.
The National Treasury disclosed that the loans under the Motor Car Loan Scheme Fund attracted very low interest.
"All financing under the scheme attracts a concessional interest rate of 4% per annum on a reducing balance, making it significantly more affordable than commercial alternatives," the statement read in part.
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The Ministry listed the loan limits for each job group as follows:
• Up to KSh 5 million – Chief Executive Officers of Government Agencies/Organs
• Up to KSh 4 million – Civil Service Grades S, T, U and equivalent
• Up to KSh 3 million– Civil Service Grades P, Q, R and equivalent
• Up to KSh 1.5 million – Civil Service Grades K, L, M, N and equivalent
• Up to KSh 800,000 – Civil Service Grades G, H, J and equivalent
• Up to KSh 600,000 – Civil Service Grades A, B, C, D, E, F and equivalent.
A Ksh1,000 non-refundable fee will be charged for all applications. Successful applicants will make repayments by the 10th of every month.
The Ministry guaranteed a transparent application process and asked applicants to follow the application process.
The State Officers and Civil Servants Car Loan Scheme Fund was established vide Legal Notice 195 of 25th September 2015 under the Public Finance Management Act (No. 18 of 2012).
How to Apply
1. Visit the Treasury website: treasury.go.ke
2. Click on the 'Information and Services' tab
3. On the drop-down list, select 'Motor Car Loan Scheme Fund'
4. Click 'Downloads' to display a list which contains guidelines, car tracking companies, the application form and a loan checklist.
5. To view each form, right-click and select 'Open in a new tab'.
6. Download and fill out the required forms and submit it to the Treasury
