By Jared Oundo
Regional leasing firm, Vehicles and Equipment Limited (VAELL), has asked the government to give local firms opportunity to evaluate the Medical leasing scheme which was introduced six years ago. The controversial Medical Equipment Scheme (MES) was procured by the Ministry of health at Ksh. 38 billion to supply and equip two hospitals in every county with high-tech machines to manage diseases such as cancer and diabetes. MES has sparked debates in various quotas. It is not known the exact amount that was spent of the scheme.
Speaking in Naivasha, VAELL’s Regional Managing Director in charge of Kenya, Mr. Paul Njeru, said, “when correctly done, leasing is relatively cheaper and enables businesses and governments to save capital which can be injected in expanding and venturing into other important projects. The government is aware that it can slim its budget by leasing assets rather than outright buying which becomes a relief to the taxpayer since they will be saved from unnecessary additional costs given that our economy is not doing so well.”
He further said, “leasing is a pay per use and if the equipment is not in use, it should not be paid for, hence assessing the lease can be straightforward. However, there is a cost to not using idle equipment which is normal in a lease. If it can be traced to supplier challenges then the respective supplier can be appropriately charged.”
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Vehicle and Equipment Leasing Limited (VAELL) is the market leader in asset leasing, maintenance and consulting in Eastern and Central Africa region. It has presence in the auto mobile, healthcare, mining, agricultural, telecommunication, construction, gas and oil sector. It has managed to diversify and expand its portfolio by offering customized solutions to suit every client’s requirement and need. VAELL, the leading provider of integrated leasing services for a broad range of moveable assets and machinery across the region, has geographical coverage with fully fledged subsidiaries in Uganda, Rwanda, Tanzania and Zambia. The leasing firm has a correspondent relationship with other leasing companies in South Africa and India. It facilitates clients with vehicles and machinery throughout the region from any one country office across its network.
In 2014 VAELL won the award for the Best in Transport, in the Top 100 KPMG/Business Daily survey, and 2015 shot into Club 101 in the same survey. It has scooped 18 awards in the last 5 years. The leasing market leader was named in 2018 by East African Business Council Tanzania as the best East African Company in The Service Sector. The lessor has also been named in the South Africa’s Titan Building Nation awards in the outstanding achievement category.
VAELL was recently hosted by Nairobi Securities Exchange (NSE) onto its premium incubation and acceleration programme, Ibuka. VAELL also owns Quipbank Trust Limited, equipment sharing platform and TingA, East Africa’s largest tractor share platform.