The Kenya Bankers Association- the umbrella body of Kenyan Banks yesterday issued a statement saying they were not happy with President Kenyatta’s decision to sign the bill to cap interest rates but are still committed to ensure loan interest rates are brought down.
“We however do not feel that an arbitrary rate cap is in the best interests of the majority of people and businesses that this law seeks to support. The reality is that there is little evidence from other countries that such interventions have helped the majority of citizens, and in a number of countries such laws have been reversed to promote financial inclusion.
However, we as the banking industry remain committed to addressing the fundamental issues that drive up the cost of credit.” Read the statement.
Meanwhile, the banks will comply with the law as they continue to provide financial services to their customers.
Download; Banking-Amendment-
Read; President Uhuru Kenyatta Signs into law Bill to Cap Interest Rates
