Time flies with great content! Renew in to keep enjoying all our premium content.
Prime
Commercial banks’ loan margins fall to 10-month low on rate cuts
The CBR has remained unchanged since February as the regulator assesses the impact of earlier monetary policy decisions. The next meeting to decide on the current rate is set for October 7.
The gap between what banks operating in Kenya charge on loans and pay on deposits narrowed to a 10-month low of 7.46 percentage points in July as lenders strike a balance between appeasing borrowers and attracting savers.
This means that the financial institutions are earning less profits on loans than before, with those having smaller non-interest income feeling the biggest pressure.
