By Benadeta Mwaura - Reporter
Kenya, June 02, 2026 - Kenyan businesses struggling with cash flow constraints may soon find relief following the launch of what has been described as the country's first large-scale fuel credit facility, a partnership between fintech firm TABB and Galana Energies aimed at transforming how businesses access fuel.
The new programme will allow businesses to access fuel on credit and repay over time, addressing one of the biggest operational challenges facing transporters, logistics companies, manufacturers, distributors and small enterprises that rely heavily on fuel for daily operations.
The initiative comes at a time when many businesses are grappling with rising operating costs, tighter credit conditions and reduced access to affordable financing.
Fuel remains one of the largest recurring expenses for many Kenyan enterprises, particularly in transport, agriculture, construction and distribution sectors, where fluctuations in fuel costs can significantly impact profitability.
According to the partners, the facility is designed to bridge the gap between fuel consumption and cash flow by enabling businesses to access working capital tied directly to fuel purchases.
The partnership also marks a growing shift toward embedded finance solutions, where financial services are integrated directly into everyday business transactions rather than being accessed through traditional bank lending channels.
For many small and medium-sized enterprises (SMEs), access to affordable credit remains one of the biggest barriers to growth.
While banks have traditionally provided working capital facilities, many smaller businesses struggle to meet collateral requirements or lengthy approval processes.
The fuel credit model seeks to provide a more practical solution by linking financing directly to a business expense that is already predictable and essential.
Industry analysts say such facilities could prove particularly valuable for fleet operators, courier companies, ride-hailing services, wholesalers and agricultural enterprises that require consistent fuel supplies to remain operational.
The launch comes as the government continues pushing for greater financial inclusion and digital transformation within the SME sector, which accounts for a significant share of employment and economic activity in Kenya.
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The move also signals Galana Energies' growing ambitions beyond conventional fuel retailing.
Founded as a Kenyan-owned oil marketing company, Galana has expanded its footprint across the country through a network of fuel stations, commercial fuel supply operations, LPG distribution and lubricant services.
The company currently operates more than 60 service stations and serves both retail and commercial customers.
The partnership reflects a broader trend within the energy sector, where fuel companies are increasingly diversifying into financial services, digital payments and customer financing solutions to strengthen customer loyalty and unlock new revenue streams.
The launch comes amid heightened economic pressure on businesses.
Kenya's inflation rate recently rose to 6.7%, driven largely by increases in transport, fuel and food costs. At the same time, many businesses continue to face reduced consumer spending and higher operating expenses.
Against this backdrop, access to flexible fuel financing could help businesses preserve working capital, maintain operations and manage cash flow more effectively.
For transport and logistics operators in particular, fuel often accounts for between 30% and 50% of operating costs, making financing solutions tied to fuel purchases especially attractive.
As Kenya's fintech sector continues to evolve, the TABB-Galana partnership may offer a glimpse into the future of business financing, one where access to credit is embedded directly into essential operational services rather than obtained through conventional lending channels.
If successful, the model could pave the way for similar financing products across sectors such as agriculture, healthcare, manufacturing, and supply chain management, further deepening financial inclusion for businesses that remain underserved by traditional lenders.