CBK clears 32 digital lending firms
Central Bank of Kenya headquarters in Nairobi.
The Central Bank of Kenya (CBK) has licensed 10 more Digital Credit Providers (DCPs), bringing to 32 the total number of certified digital lenders in the country, since the process started in March 2022.
Among the newly licensed DCPs are Anjoy Credit Limited (Ltd), Asante FS East Africa Ltd, EDOMX Ltd, Extend Money Services Ltd, Risine Credit Ltd, Okolea International Ltd and Kweli Smart Solutions Ltd.
“The CBK has received 401 applications since March 2022 and has worked closely with the applicants in reviewing their applications. Additionally, the CBK has engaged other regulators pertinent to the licensing process, including the Office of the Data Protection Commissioner,” stated the CBK.
The financial services sector regulator maintains that it is focusing on issues around business models, consumer protection, and the propriety of proposed shareholders, directors and management in granting the approvals.
It acknowledged that it has been driving the exercise together with other regulators relevant to the process.
“This is to ensure adherence to the relevant laws and that the interests of consumers are safeguarded. We acknowledge the efforts of the applicants and the support of other regulators and agencies in this process,” the CBK stated.
At least 369 DCPs remain unlicensed as per the CBK’s details, in a process that has proven to be slow, seeing the licensing of fewer than three lenders on average every month.
The CBK has not been clear on the step-by-step process DCPs are required to fulfill, which have slowed the process.
“Other applicants are at different stages in the process, largely awaiting the submission of requisite documentation,” it stated.
