Dr. Patrick Ngugi Njoroge, the current Central Bank of Kenya (CBK) Governor has revealed an ongoing Monetary Policy Draft aimed at making the Banking Sector more customer-friendly. The CBK is in talks with local banks to tone down the measures put in place during recovery of lost money that they introduced after the interest rate cap law was adopted by Parliament.

The Governor agreed that the cap on loan interest rates has done some significant damage to the Kenyan economy, not only on the effectiveness of the Monetary Policy but also that of micro, small and medium enterprises (MSMEs) credit flow. He insisted that a way has to be found to expand credit to the MSMEs. He was speaking in Eldoret, the Headquarters while on a visit to the Governor of the county Mr. Jackson Mandago.

Dr. Njoroge assured the CBK’s commitment to support county governments activities by ensuring timely release of county allocated funds from the national government. The Kenyan economy has been on the upward trend after the election year 2017, growing by 6.1% last year and projected to further improve by 6.3% by the end of this year, noted Dr. Njoroge. He however expressed concerns on the recent increasing trends of fake currency circulation in the country.

The CBK’s efforts of toiling to improve professionalism in the Banking and Financial sectors were praised by the host, Governor Mandago who also noted the increased stabilization of the Kenyan Shilling over the months, thanks to the CBK’s monetary policies put in place.

Kenyans will surely be following this keenly since they are set to benefit both directly and indirectly. Follow this and other news, events and happenings on the country’s economy and money markets straight from our blog as they unravel, unfold and develop.