Kenyan trade credit provider Tabb has launched the country’s first large-scale fuel credit line in partnership with Galana Energies.

The fintech firm will be offering fleet operators, transporters, and logistics companies access to interest-free fuel financing through partner banks.

The facility, which is already operational across Galana service stations in East Africa is expected to ease the growing financial pressure on businesses grappling with rising fuel costs and increasing working capital demands.

Under the arrangement, fleet operators and logistics firms can apply for revolving credit lines issued by banks in partnership with Tabb and use the funds directly at Galana fuel stations.

Suppliers receive immediate payment at the point of sale, while businesses repay the financing over an agreed period of between 30 and 90 days.

According to Tabb, the initiative is designed to replace the informal credit arrangements that had long dominated the transport and logistics sector, providing a structured financing solution that enables businesses to maintain operations without straining cash flow.

“What we’re launching today is the clearest expression yet of Tabb’s role in the market, connecting banks, suppliers, and businesses so that credit flows to where it is needed instantly and without cost,” said Don Okoth, Director of Mobility at Tabb.

He explained that suppliers get paid on the day, businesses get the fuel they need and the informal credit arrangements that have held this sector back begin to give way to something that actually works.

The launch comes as fuel price increases continue to raise operating costs for transport and logistics companies across the region, forcing many operators to commit significantly more capital to keep vehicles on the road.

In Kenya, the cost of Super Petrol and Diesel went up in April by Ksh.16.65 and Ksh.46.29 per litre, respectively

Tabb Chief Executive Officer Mesh Alloys said the partnership marks a significant step in transforming how the industry finances one of its largest operating expenses.

“I see this partnership as the inflection point where Tabb’s trade credit network moves from enabling transactions to fundamentally reshaping how the entire transport and logistics industry finances its largest expense,” Alloys said.

The company said the fuel credit facility forms part of its broader strategy to expand access to trade credit across multiple sectors, including fuel, hardware, pharmaceuticals and retail, helping businesses bridge working capital gaps and support growth.

Tabb provides businesses with bank-issued trade credit lines that are accepted by a network of suppliers which allows companies to access goods and services on credit while suppliers receive immediate payment.

• A Tell Media / KNA report / By Wangari Ndirangu