Central Bank of Kenya Stories

Loan defaults surged to 17 per cent in 2024 due to tough business climate - CBK
Alfred Onyango  |  Aug 13, 2025

In the period under review, gross loans issued by banks decreased by 2.7 per cent to Sh4.07 trillion from Sh4.18 trillion in 2023.

CBK cuts lending rate to 9.5 per cent in seventh straight easing move
Alfred Onyango  |  Aug 13, 2025

This marks the seventh consecutive rate cut from the historic peak of 13.0 per cent, as the regulator reaffirms its commitment to boosting economic ac...

More women turn to digital loans as smartphone use spurs financial inclusion
Maureen Kinyanjui  |  Aug 13, 2025

Tala’s report reveals that 26 per cent of all borrowers accessed digital credit for the first time, with women making up most of this group.

11 banks fined for exceeding lending limits, failing capital requirements
Lucy Mumbi  |  Aug 11, 2025

The institutions breached 10 regulatory provisions, with most violations linked to lending more than 25 per cent of core capital to a single borrower....

Kenyan shilling holds steady at 129 against the dollar for a year
Alfred Onyango  |  Aug 09, 2025

The local currency began its recovery in early February last year, after plummeting to a historic low of 160 against the greenback.

Kenyan banks tighten oversight of third-party tech firms amid rising cyber threats
Maureen Kinyanjui  |  Aug 08, 2025

Financial institutions are updating their contracts and improving monitoring systems to protect themselves from growing risks related to external serv...

CBK targets rogue lenders with new draft regulations, seeks public feedback
Rachael Mutabasi  |  Aug 07, 2025

The proposed rules address key areas such as transparency in loan agreements, responsible use of customer data, effective complaint resolution, and fa...

Borrowers exposed to costly loans despite banks cutting interest rates by one per cent
Maureen Kinyanjui  |  Aug 07, 2025

According to data published by the Central Bank of Kenya (CBK), the average overall lending rate across 38 commercial banks dropped slightly to 15.78...

New Bill seeks to make cash payments up to Sh100,000 mandatory for all Kenyan businesses
Lucy Mumbi  |  Jul 30, 2025

The proposed law seeks to amend the Central Bank Act by making it mandatory for businesses to accept cash for goods and services, and prohibits additi...

CBK rolls out reforms to stop counties from diverting billions in funds meant for suppliers
Lucy Mumbi  |  Jul 28, 2025

CBK Governor Dr Kamau Thugge said the reforms will curb this form of abuse by tying approved requisitions to actual payments, thereby blocking discret...

Parliament to vet Pius Angasa for CBK board appointment after Ruto's nomination
Rachael Mutabasi  |  Jul 24, 2025

Wetang’ula directed that the nomination, along with Angasa’s CV and supporting documents, be submitted to the National Assembly Departmental Committee...

Counties under pressure as Treasury moves to curb misuse of funds with new single account system
Lucy Mumbi  |  Jul 18, 2025

While county leaders have raised concerns over losing financial independence, senators proposed a hybrid system, where the Treasury can monitor balanc...

Tax relief boost as KRA slashes fringe benefits rate for workers
Maureen Kinyanjui  |  Jul 11, 2025

Fringe benefits tax applies to employees, directors, or their relatives who receive welfare perks such as low-interest loans from their employers. The...

Economic hardships, not just high interest rates, driving digital loan defaults among Kenyan youth
Alfred Onyango  |  Jul 10, 2025

Despite their current challenges, most respondents said they do not intend to default permanently, expressing fear of being blacklisted by the Credit...

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...

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...

Kenya moves closer to crypto regulation as MPs back joint oversight of digital asset sector
Maureen Kinyanjui  |  Jun 26, 2025

The National Assembly’s Finance Committee has recommended that five government agencies jointly supervise virtual asset service providers (VASPs), mar...

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...

Kenya’s forex reserves hit historic $10.59 billion, buoyed by remittances and strong shilling
XINHUA  |  Jun 07, 2025

The reserves have been on an upward trend since March, when they surpassed the 10-billion-US-dollar mark.

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.

Why Kenya’s debt outlook is improving: Stronger shilling, weaker dollar, policy shifts drive decline
Alfred Onyango  |  Jun 04, 2025

According to Afreximbank's 2025 report on the state of debt burdens, a major external influence behind this shift is the changing economic policy envi...

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...

SRC controversy casts shadow over Moturi's Central Bank board nomination
Maureen Kinyanjui  |  Apr 25, 2025

Moturi, a banking and finance expert with a Master’s degree in Banking and Finance, defended her time at the SRC, where she served as a commissioner.

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...

Kenyan shilling rebounds with 14 per cent year-on-year gain in Q1, 2025
Alfred Onyango  |  Apr 19, 2025

In real figure terms, the 14 per cent gain during the quarter means importers in the country were spending Sh14 less to buy a dollar for importation c...

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...

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