This as informal and platform-based work continues to expand.
The lender cut the down payment on selected petrol motorcycles to 27 per cent from 35 per cent for new customers, effective October 1.
Returning customers with a previous Watu financing record will pay 24 per cent, down from 30 per cent.
The new terms initially cover Boxer, TVS, Honda and Haojin motorcycles and are available through Watu branches, dealers and agents.
The reduction comes as Kenya’s motorcycle market sees renewed growth.
Data from the Kenya National Bureau of Statistics (KNBS) show newly registered motorcycles, autocycles and three-wheelers almost doubled to 252,241 in 2025, up from 126,490 in 2024.
Motor and autocycles alone more than doubled to 241,763 units. KNBS attributed part of the wider increase in vehicle registrations to improved access to financing.
The motorcycle boom is closely tied to the importance of informal transport and the country’s expanding gig economy.
The 2026 Economic Survey shows that Kenya had 21.6 million people in recorded employment in 2025, with the informal sector accounting for 87.2 per cent.
The economy created 822,100 jobs during the year, underscoring the importance of self-employment and small businesses as sources of livelihoods.
Digital platforms are also reshaping how such workers find customers.
An International Labour Organisation study says the expansion of digital labour platforms is changing Kenya’s labour market, including in taxi driving and delivery services.
However, it cautions that many platform workers remain outside conventional employment protections and social security systems.
For motorcycle riders, the cost of acquiring the vehicle can therefore determine how quickly they enter the market
“Lowering the entry point gives riders a stronger offer and gives us a stronger proposition in the market,” said Damien Gueroult, Watu Credit’s country manager for Kenya.
“What we are trying to unlock for our customers is easier access to an income-generating asset that puts more money in their pockets and helps them keep building their livelihoods and their businesses,” he said.
The wider transport economy is already significant, with KNBS estimating the value of road transportation output at Sh2.57 trillion in 2025, comprising Sh1.5 trillion in passenger traffic and Sh1.08 trillion in freight.
The financing push also comes as Kenya’s motorcycle industry begins another transition from petrol to electric power.
The government launched the National Electric Mobility Policy in February, saying cumulative electric vehicle registrations had risen to 39,324 by 2025 from 1,378 in 2022, with boda-boda motorcycles recording the highest percentage increase.
The policy seeks to expand investment, local assembly, charging infrastructure and green jobs.
The World Bank has separately identified electric motorcycles as potentially transformative for Kenya’s gig economy.
Its Nairobi field research found that a shift to a lease-to-own electric motorcycle model increased rider productivity by 37 per cent, while energy efficiency nearly doubled.
This suggests that access to finance will remain central even as the technology changes.
Lower deposits can bring more riders into motorcycle ownership today, while financing models could increasingly determine who is able to participate in Kenya’s emerging electric-mobility economy.
Gueroult said local dealers and agents would remain central to reaching new riders and customers who had already built a repayment record.
The company says the lower deposit shortens the distance between motorcycle acquisition and earning, while potentially widening the customer base for dealers and agents.
