Uhuru Kenyatta should sign Bill on interest rates

The unanimous passing of the Banking Act (Amendment) Bill, 2015 by Parliament is a laudable move. It now only awaits the President's signature.

The President should now sign it without much ado. This is because the voice of the people (Parliament) has spoken.

Citizens elect leaders so that they can listen to them and attempt to solve some of the problems that they face. In passing the Bill that proposes to cap interest rates, Parliament has done the country proud.

Parliament has taken a sound step in an attempt to cushion the common man from bank cartels that make super-normal profits through alarmingly high and fluctuating interest rates.

The issue of interest rates unites Kenyans from all parties. It transcends our political and geographic boundaries. The rates have no tribal or ethnic affiliations. It is a fight between two groups of people; the rich and poor.

The nation should not be fooled by the fact that banks are now promising to pool Sh30 billion to lend out to small and medium-sized enterprises at "friendly" rates.

This move is an insult to the integrity of Kenyans. Banks have suddenly had an "eureka" moment and seen the plight of a common man. All along they have never seen that their antics are hurting small time borrowers.

This sudden realisation by banks also includes the need to reduce interest rates by one per cent (which they use the flowery language of 100 per cent points).

It is public knowledge that many Kenyans have had their lives destroyed by the high interest rates. Furthermore, banks usually adjust their rates without any reference to the customer.

It is time to rein in on these "modern-day Shylocks" through a Bill anchored in law. We do not need mere promises and underhand deals on a sensitive matter like this.

Arguments that the Bill will do more harm than good to the economy do not hold water.