President Uhuru Kenyatta has signed into law the Banking (Amendment) Bill that seeks to cap interest rates on loans. In doing so, the President said he had consulted widely before appending his signature on to Bill.
"I have assented to the Bill as presented to me. We will implement the new law, noting the difficulties that it would present, which include credit becoming unavailable to some consumers and the possible emergence of unregulated informal and exploitative lending mechanisms,” said the head of state in a statement.
The President noted that the government will closely monitor these difficulties, particularly as they relate to the most vulnerable segments of the population. The government will also accelerate other reform measures necessary to reduce the cost of credit and thereby create the opportunities that will move our economy to greater prosperity.
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