Unregistered Mobile Lenders To Cease Operation In Kenya

By Owino Nyakiti September 17, 2022, is the deadline set by the Central Bank of Kenya (CBK) to get rid of Digital Credit Providers (DCP) who will not have been registered with the regulator. This comes after President Uhuru Kenyatta last year signed the Central Bank Act 2021, that placed all digital lenders under CBK. So far, CBK has already set a raft of measures to regulate the sector, saying owners of these mobile lenders will also be subjected to self-audit to tame money laundering in the country. READ ALSO TEACHERS: Lucrative Job Opportunities At The Ministry of Education The Act’s main aim will be to help curb the already prevalent debt shaming, which some lenders use as a way to recover their debts. It will also enable the regulator to grant approval before digital lenders price their products and loans. CBK will also get power to revoke licenses of digital lenders who are not compliant with the rules that have been set. Digital lenders who were previously unregulated...