Outlook for digital lending safer with ethical measures

The Swahili people have a proverb, “nazi mbovu harabu ya nzima” that easily translates to a “a rotten coconut spoils the good ones”. The digital lending industry in Kenya is suffering the same fate as the good coconuts as negative stories of client harassment have sparked an onslaught by regulative forces.

Recent reports in the media would have you think the industry has lost direction and the time is appropriate for a regulatory intervention. Yet, it is worth highlighting that in the shade of negative stories, responsible initiatives have already taken place and the industry’s representatives associated in Digital Lenders Association of Kenya (DLAK) are willing to go to great lengths to participate in professionalisation of the industry. The process, however, is a long-term initiative and requires all parties’ engagement.