After years of fairly steady growth, lending to Kenyan households contracted in December, and January, on an annual basis. Outstanding debt to households was between $ 3.8 B and $ 3.9 B in both months, falling by 1.5% respectively, compared to the same months a year earlier.
Lending to trade, manufacturing, and real estate rose over the same period by 6.8%, 12.2%, and 8.4%, but nominal credit growth was still low at 1.8%. If you factor in inflation, credit growth over the period is actually negative.
Jared Osoro is in charge of the research unit at the Kenyan Bankers’ Association. After the loss of 1.2 million loan accounts and 1 400 jobs, I asked him if the only beneficiaries of this law, are larger firms, and the Kenyan government
Subscribe to us on YouTube: http://ow.ly/Zvqj30aIsgY
Follow us on: