Sh2.8 billion raised for Lake Region economic bloc bank

Vihiga county governor Dr Wilber Ottichilo and Luanda Mp Chris Omulele welcome Kakamega governor Wycliffe Oparanya

KAKAMEGA, KENYA: Kakamega Governor Wycliffe Oparanya has said the Lake Region Economic Bloc Investment Bank will start operations in October this year.

Mr Oparanya who is the chairman of the bloc said already the Sh2.8 billion initial capital has been raised by the member counties.

Inspecting development projects in the county, the governor said each county contributed Sh200 million towards the establishment of the bank and that they opted to buy an existing bank instead of having to start from the scratch.

The counties under the bloc are Kakamega, Bungoma, Bomet, Busia, Vihiga, Homa Bay, Kericho, Kisii, Kisumu, Migori, Nyamira, Nandi, Siaya and Trans Nzoia.

“We are going to have an inaugural investment conference in October this year in Bomet County. It is during the investment conference that we will officially launch the bank to commence operations,” said Oparanya.

He said ones the bank kick starts the operations, they will establish an insurance company that will support the bank.

“Our people are unable to venture into business since they don’t have capital. The bank will give them loans at subsidized interest rates aimed at revamping the economy of the member counties,” Oparanya said.

According to Oparanya, the bloc is committed at reviving the tea sector, sugarcane farming and fish farming using the bank for commercial purposes.