MP seeks to regulate lending interest rates

A Bill to regulate lending rates has formally been introduced in Parliament, nearly a decade after the Executive sided with banks to block similar attempts.

Rangwe MP Martin Ogindo has sponsored the Private Member’s Bill that seeks to amend the Banking Act (Cap 488) to put a cap on interest rates. The draft law seeks to prevent banks from charging borrowers more than 400 points or four percentage points above the benchmark Central Bank Rate (CBR).