In a significant economic development, the Kenyan shilling experienced a historic low on Monday, breaching the Sh160.23 mark against the US dollar. This decline, part of a sustained weakening trend, has raised concerns across financial sectors. Last month, the Central Bank of Kenya (CBK) responded to the ongoing depreciation by unexpectedly raising interest rates by […]

Equity Bank Kenya has entered the financial landscape with a strategic launch – ‘Boostika.’ This unsecured overdraft facility is poised to directly challenge Safaricom’s Fuliza, offering customers the ability to overdraw their accounts up to Sh100,000 for seamless transactions, particularly in shopping scenarios. Boostika, boasting an effective cost of credit at 8.5%, is designed to […]

In a significant relief for the agricultural and small business sectors, the Kenya Revenue Authority (KRA) has implemented targeted exemptions from the electronic tax invoice management system (eTims). With immediate effect, businesses with an annual turnover below Sh5 million are now spared from the electronic invoicing requirement, a move set to alleviate compliance pressures on […]

In the upcoming January 2024 Treasury bond sale, investors are preparing for a formidable challenge as interest rates are predicted to surge beyond the 18 percent mark. This projection stems from thorough analyses by reputable investment banks, including Genghis Capital, Sterling Capital, and AIB-AXYS Africa. The bond offering consists of a new three-year bond and […]

In response to a challenging fiscal landscape, Kenya’s National Treasury has revised its borrowing strategy for the 2023/24 fiscal year. The move, announced today, reflects a pragmatic response to lower-than-expected tax collection and a downward revision of ordinary revenue forecasts. Originally targeting Sh718.9 billion in borrowing, the Treasury has now increased its goal by Sh168 […]

Recent data from the Central Bank of Kenya (CBK) reveals a substantial uptick in the interbank lending rate, reaching a near five-month high as the CBK enforces a more robust monetary policy. The mean lending rate between banks stood at 14.3 percent on January 2, 2024, representing the highest level since August 7 and at […]

In a strategic move to bolster the stability and resilience of Kenya’s financial sector, the National Treasury is actively considering a revision of commercial banks’ core capital requirements. The current minimum threshold, set at Sh1 billion since 2012, is under scrutiny, signaling potential consolidation activities among smaller lenders. Outlined in the 2024 draft Budget Policy […]

In response to the looming threat of maize lethal necrosis disease, Malawi has taken a strategic step by temporarily banning the import of unmilled maize from its key suppliers, Kenya and Tanzania. The Ministry of Agriculture issued a comprehensive statement, underlining the gravity of the situation. The disease, with no known treatment, poses a serious […]

The Hustler Fund, a cornerstone initiative aimed at supporting micro, small, and medium enterprises (MSMEs), is grappling with a significant hurdle as loan defaults by Kenyan borrowers reach a critical Sh9.9 billion. Launched with optimism by President William Ruto and Prime Cabinet Secretary Musalia Mudavadi at the Green Park Terminus in Nairobi last year, the […]

In a significant development, Saccos have achieved a major milestone by crossing the Sh1 trillion mark in member deposits. Despite economic challenges prompting some withdrawals for immediate needs, the State Department of Cooperatives reports a robust 15.6 percent surge in savings, reaching Sh1.047 trillion in the year to June 2023 from Sh906 billion. This remarkable […]