Borrowers relief as CBK signals cut in cost of bank loans

The Central Bank of Kenya (CBK) building in Nairobi. FILE PHOTO | NMG

The Central Bank of Kenya (CBK) has cut the benchmark lending rate by 0.5 percentage point, signalling a drop in the cost of loans by a similar margin and offering relief to millions of borrowers.

This is the second time that the banking sector regulator has cut the signal rate since legal caps were introduced on the cost of credit nearly two years ago.

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