Exim Bank Unveils Bid Bonds Guarantee For SMEs

Exim Bank Uganda has launched a 3- month bid guarantee campaign for Small and Medium Enterprises (SMEs) to allow them grow and expand their operations.  The bid guarantee will not exceeding Shs1bn capital value.

The campaign dubbed ‘Chap Chap’ Bids was launched on Thursday at the bank’s offices located at Hannington Road in Kampala.

According to Joy Kimuda, Exim Bank Uganda’s Chief Relations Manager, the product has been designed for contractors, suppliers and traders in the Oil & Gas, Construction, Infrastructural Development, Transport and Agriculture sectors along with Real Estate Developers and NGOs.

The Chap Chap bids require no security, no commission and can be processed in 2 hours.

“Chap Chap bid bonds campaign has no security or commission involved;
we are trying to save Ugandans from spending and help them quicken the
process by issuing the necessary document in 2 hours for customers
and 24 hours for non customers,” Kimuda said.

She explained that the Chap Chap bids will end after three months and there
after they will figure out what is next.

She said that the bank will provide bid bonds guarantees ranging from Shs50m to Shs200m, with the only requirement being  arrangement fees of Shs100,000.

“The bank client will contribute only 20% and the non customer will
contribute 25% of the bid guarantee of the required amount and if the
bid expires, we refund the money” she explained.
Exim bank is focusing on strengthening the brand in Uganda’s competitive
banking sector.