• Money & Markets
Friday, July 1, 2022
  • Login
No Result
View All Result
NEWSLETTER
Money & Markets
18 °c
Nairobi
18 ° Fri
18 ° Sat
18 ° Sun
18 ° Mon
  • News
  • Big Read
  • Markets
  • Economy
  • Investing
  • Energy
  • Opinion
  • Africa
  • World
  • News
  • Big Read
  • Markets
  • Economy
  • Investing
  • Energy
  • Opinion
  • Africa
  • World
No Result
View All Result
Money & Markets
No Result
View All Result
Home Economy

Provide affordable credit to Kenyans, Uhuru urges banks

by Money Markets
June 12, 2020
in Economy
0 0
0
Provide affordable credit to Kenyans, Uhuru urges banks
0
SHARES
37
VIEWS
Share on FacebookShare on Twitter

President Uhuru Kenyatta has urged commercial banks to work closely with the Central Bank of Kenya and other stakeholders to provide affordable credit to Kenyans.

President Kenyatta expressed concern that interest rates in Kenya have remained higher than in comparable middle-income economies despite the deepening of financial markets and the recent introduction of credit-information sharing.

“Consumers are yet to benefit from reduced cost of credit. The concerns led to recent legislation capping commercial bank interest rates,” said the President during the Central Bank of Kenya’s 50th anniversary celebrations at the National Museums of Kenya in Nairobi.

The President last month signed into law a Bill capping bank interest rates at 4 per cent above the Central Bank Benchmark Rate.

The Head of State said more reforms are necessary in the financial sector to create a vibrant and competitive financial sector that drives high savings and supports investment in line with the country’s development blueprint, Vision 2030.

“We experienced banking crises in the 80’s and early 90’s, resulting largely from weak corporate governance, insider lending, and poor asset quality and management. The Central Bank played a key role in coming up with appropriate reforms to address the weaknesses and foster financial stability,” he added.

Implementation of stronger legal and regulatory frameworks, and establishment of the Deposit Protection Fund Board (DPFB), the predecessor of the Kenya Deposit Insurance Corporation (KDIC) are among the reforms undertaken by CBK to strengthen the financial sector in the country, the President said.

He added: “Kenya’s financial sector is also widely recognized for its leadership in leveraging mobile phone technology. Consequently, financial inclusion has increased substantially, with access to formal financial services having grown from 26 percent in 2006 to over 75 percent currently.”

President Kenyatta lauded CBK for supporting innovation in the banking sector while applying safeguards to mitigate the potential risks, encouraging the financial regulator to remain diligent and committed to ensure the sector remains one of the most vibrant, competitive and innovative on the continent.

“Over the last 50 years the Central Bank of Kenya has supported the country’s economic growth and poverty reduction agenda by promoting price stability and fostering a stable financial system,” the President said.

He also commended the various initiatives CBK has adopted in the last 50 years to demystify its role and mandate as well as promote financial literacy.

The President, who launched the CBK Numismatic museum, applauded the financial regulator for focusing on the youth who are the key drivers of the country’s development.

President Kenyatta said the Central Bank of Kenya’s numismatic exhibition of notes and currencies at the National Museum will allow visitors to learn more about the rich history of the Kenya currency and the Central Bank of Kenya.

“One of the initiatives geared towards the youth was the sponsorship of the Kenya Music Festival as “Title and Thematic Sponsor,” said the President.

CBK Governor Dr. Patrick Njoroge said the bank sponsored this year’s Kenya Music Festival that involved over 6 million students throughout the country.

He said the financial regulator is also engaged in internship and youth Empowerment programs that are in line with the Government’s efforts to tackle unemployment.

Treasury Cabinet Secretary Henry Rotich also spoke during the occasion that was attended by current and former Central Bank Governors from the region. (PSCU)

Tags: BanksCBKinterest ratesUhuru Kenyatta
Money Markets

Money Markets

Next Post
Banks shift to T-bills and bonds to make up for rate capping

Banks shift to T-bills and bonds to make up for rate capping

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *




Latest Articles

  • Mozzart Bet unveils Nandi Road Race sponsorship
  • Shift Towards Domestic Tourism a Game Changer in Post-Covid-19 Recovery
  • Equity Bank has been feted as the Best Bank in Kenya in the 2022
  • Kenya Academy of Sports 2nd International Sports Conference begins in Nairobi
  • Kodris Africa officially unveiled in Kenya as Government adopts new content for teaching coding for schools
  • KCB Shareholders approve Ksh 9.64B  dividend payout.  
  • Safaricom and Visa launch M-PESA GlobalPay Visa Virtual Card
  • Sethna appointed Ogilvy Africa’s Chief Creative Officer
  • Bar Owners urge Parliament to reject proposed increase in Excise Duty on alcohol
  • Pooled Procurement project for pharmacies gets GIZ support

TOP SEARCHES

acquisition AfDB Airtel Banks brexit CBK Central Bank Central Bank of Kenya China COVID-19 dividends energy Equity Bank Equity Group Equity Group Holdings Finserve High Court ICT Imperial Bank Insurance interest rates Jambojet Jumia KCB KDIC KenGen Kenya Kenya Airways KRA M-Pesa MD mKey MPesa NSE Patrick Njoroge profit profits Safaricom Safaricom foundation shareholders shares SMEs StarTimes Tanzania Uhuru Kenyatta




  • Money & Markets

© 2020

No Result
View All Result
  • Money & Markets

© 2020

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In