Crackdown on unlicensed companies cuts digital creditors in Kenya to 51
- Kenya has approved the operation of 17 new digital credit providers, including Autochek.
- The Central Bank of Kenya continues to scrutinize applications from digital lenders and has issued licenses to 51 lenders so far.
- The regulatory changes were made to address concerns about high-interest rates, personal data abuses, and unethical debt collection practices.
The regulatory changes in Kenya's digital credit industry are a positive step towards protecting consumers from predatory practices. By scrutinizing applications and issuing licenses, the Central Bank of Kenya is working to address concerns about high-interest rates, personal data abuses, and unethical debt collection practices. However, the negative sentiment indicates that there is still work to be done to ensure the industry operates ethically and responsibly.
