CFC Stanbic becomes first bank to cut rates for existing loans

CFC Stanbic has become the first bank to cut rates for existing loans following the move by President Uhuru Kenyatta to sign the Bill capping interest rates on bank loans into law.

The new rate for both old and new loans at CFC is now 14.5 per cent.

The new law caps loan interest rates at 4 per cent above the central bank rate which is 10.5 per cent.

KCB and Co-operative Bank had also reduced interest rates for new loans awaiting guidelines from the government on how to treat existing loans.