CBK interest rates Stories

Banks pocket Sh13 billion more from MSMEs driven by higher interest rates – CBK
Maureen Kinyanjui  |  Jul 08, 2025

The data shows that interest income from MSME loans increased from Sh79.1 billion in 2022 to Sh91.8 billion in 2024, marking a 16 per cent jump.

Central Bank of Kenya invites Kenyans to review total cost of credit website
Bashir Mbuthia  |  Jul 07, 2025

The survey, which runs until July 15, 2025, seeks input from customers of commercial banks, mortgage finance institutions, microfinance banks and the...

CBK: Gaps in digital lending sector fuel risk of money laundering, terror financing
Lucy Mumbi  |  Jul 07, 2025

While 71 per cent of digital lenders screen their customers against global sanctions lists and 62.7 per cent offer some form of staff training, only 4...

Kenyan shilling rallies against major world currencies
Alfred Onyango  |  Jul 05, 2025

An analysis of data from the Central Bank of Kenya (CBK) shows the Kenyan shilling closed the first quarter of 2025 with a 14 per cent year-on-year ga...

Loan interest rates drop as CBK moves to scrap risk-based pricing
Maureen Kinyanjui  |  Jul 02, 2025

The move follows a series of benchmark rate cuts by CBK over the past year and a half, including the latest reduction in June, which brought the Centr...

PS Susan Mang’eni denies Hustler Fund misuse, reports Sh4.8 billion savings
Maureen Kinyanjui  |  Jun 19, 2025

According to the Auditor General’s report, of the Sh22.96 billion allocated to the Hustler Fund in the 2022/2023 budget, only Sh12 billion was spent.

"Where did the money go?" Hustler Fund faces scrutiny over Sh8 billion gap
Maureen Kinyanjui  |  Jun 19, 2025

The Auditor General’s report has exposed major gaps in the management of the fund, showing the State Department for Cooperatives only spent Sh12 billi...

High interest rates, collateral gaps still hindering farmers' access to credit – CBK survey
Alfred Onyango  |  Jun 18, 2025

The CBK survey shows that 54 per cent of farmers said high interest rates were the main reason they couldn’t access credit, up from 38 per cent in Mar...

CBK extends operating hours for high-value transactions by four hours, starting July 1
Alfred Onyango  |  Jun 18, 2025

New operating window will span from 7:00 am to 7:00 pm on all business days, four hours longer than the current schedule of 8:30 am to 4:30 pm.

Bleak outlook as CBK reveals one in three firms won’t hire in 2025
Maureen Kinyanjui  |  Jun 18, 2025

Data from the Kenya National Bureau of Statistics shows that 782,300 new jobs were created in 2024, a drop from 848,100 the year before.

Maize, sugar and cooking oil prices to rise in June as spinach, cabbage to drop - CBK
Lucy Mumbi  |  Jun 17, 2025

The Agriculture Sector Survey released on Tuesday, June 17, notes that while cereal products will see price hikes, some fast-maturing vegetables are p...

Kisumu leads in commercial bank loans as counties borrow Sh8.6 billion in nine months
Maureen Kinyanjui  |  Jun 13, 2025

Data by the Central Bank of Kenya shows that Kisumu borrowed Sh1.68 billion from Kenya Commercial Bank (KCB) to support operations and pay salaries.

CBK cuts lending rate to 9.75 per cent as inflation eases
Lucy Mumbi  |  Jun 10, 2025

According to CBK, Kenya’s overall inflation dropped to 3.8 per cent in May 2025, down from 4.1 per cent in April, remaining below the mid-point of the...

No evidence to support Sh6 billion Hustler Fund write-off, Auditor General tells MPs
Lucy Mumbi  |  Jun 07, 2025

Auditor General Nancy Gathungu told MPs that there was no proof the borrowers were untraceable or incapable of repayment, raising concerns about trans...

CBK Governor Kamau Thugge sent away by MPs for submitting incomplete diversity reports
Maureen Kinyanjui  |  Jun 06, 2025

Dr Thugge acknowledged the shortcomings of his report and accepted responsibility for the oversight. He assured the committee that he would address th...

CBK expands list of licensed digital lenders as review of 700 applications continues
Lucy Mumbi  |  Jun 05, 2025

In a statement on Thursday, CBK said the approvals are part of an ongoing review of over 700 applications it has received since March 2022.

Kenya’s loan defaults surge to Sh717.5bn as banks intensify recovery efforts amid financial strain
Lucy Mumbi  |  May 26, 2025

The CBK survey revealed that banks plan to ramp up loan recovery efforts in eight of the 11 economic sectors and maintain the current pace in the rema...

Nearly half of CBK jobs held by two ethnic groups, Senate told
Maureen Kinyanjui  |  May 14, 2025

CBK currently has 1,311 employees. Of these, 325 are Kikuyu and 258 are Kalenjin. Luo staff number 139, followed by Kamba (123), Luhya (113), Kisii (9...

Banks oppose CBK plan to peg lending to Central Bank Rate, cite credit access risks
Maureen Kinyanjui  |  May 02, 2025

In its proposal, CBK has emphasised the importance of operationalising policy decisions through tools like the interbank rate to ensure stronger trans...

Most Kenyan employers to freeze hiring in 2025 despite economic optimism – CBK survey
Alfred Onyango  |  Apr 26, 2025

Notably, the gloomy employment outlook is against the backdrop of recent reports of recovery in the country’s macroeconomic environment and declining...

Banks face additional reporting rules as sector moves to spur green credit growth
Alfred Onyango  |  Apr 25, 2025

The push seeks to disclose data under the International Financial Reporting Standards (IFRS) S1 and S2, steered by the Kenya Bankers Association (KBA)...

CBK, commercial banks disagree over benchmark for determining lending rates
Maureen Kinyanjui  |  Apr 24, 2025

The banks argue that after interest rate caps were introduced on interbank lending, the use of this rate as a base would be more responsive to market...

New Bill seeks to allow cash payments for transactions below Sh100,000
Lucy Mumbi  |  Apr 20, 2025

The proposal comes amid a growing trend of businesses prominently displaying signs that read, “we are cashless” or “we only accept cards,” effectively...

CBK ends 10-year banking licence ban, sets Sh10bn capital threshold
Lucy Mumbi  |  Apr 16, 2025

Following the lifting of the moratorium, CBK said all new entrants will be expected to demonstrate their ability to meet the new minimum capital thres...

Banks navigate perfect storm to post Sh181bn in profits
Lucy Mumbi  |  Apr 14, 2025

This is an improvement from the Sh162.3 billion recorded during a similar period in 2023, underlining the sector’s ability to withstand economic press...

Diaspora remittances record slower growth as Kenyans send home Sh159.5 billion in three months
Lucy Mumbi  |  Apr 14, 2025

Data from the Central Bank of Kenya (CBK) shows that February recorded the slowest increase in remittance flows for the quarter, compared to the other...

Banks face daily fines for non-compliance with CBK lending rate cuts
Maureen Kinyanjui  |  Apr 10, 2025

The CBK is determined to ensure that the reductions in the central bank rate benefit the broader economy, particularly in the private sector.

CBK slashes lending rate to 10.0%, narrows its interest corridor for stability
Alfred Onyango  |  Apr 08, 2025

The slash is a 75 basis points cut and the fifth consecutive one from the decade high rate of 13 percent.

CBK proposes new license fee structure for banks
Alfred Onyango  |  Mar 11, 2025

In the first year of implementation, CBK plans to set the rate at 0.6 per cent.

Over Sh31 million in Hustler Fund loans disbursed to minors, some as young as 10 days old - audit
Lucy Mumbi  |  Feb 26, 2025

Findings indicate that thousands of borrowers were either below the legal age of 18 or had not yet been born when the funds were disbursed.

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