Lending Rates: Cooperative Bank of Kenya Can Kill Savings and Credit Cooperatives

The announcement by the Cooperative Bank of Kenya (CBK) that it has increased its lending rates from 12 per cent to 17 per cent may as well be the end of Kenya’s famed cooperative movement as we know it today. Set up by the cooperative movement as the bank for cooperatives, CBK has slowly been moved away from cooperative practices to a radicalized commercial bank.

Kenya’s Top Commercial Banks Take Home Billions in Profits

The huge profits made by Kenya’s banks demonstrate the portability of investments in the financial sector. Many Kenyans are however critical of the huge profits, attributing them to what they see as the banks’ policy of fleecing their clients. They point to the minimal interest rates paid by the banks to those saving money with them and the high interest rates paid by those who take loans from them.

Credit Reports will Increase Access to Bank Loans for Businesses

Credit report and borrowers’ data sharing among banks and other financial institutions are some of the measures being undertaken in Kenya to improve access to credit and boost the economy