Commercial banks, SACCO's microfinance institutions, and digital lenders are in the process of transitioning into Risk-based Credit pricing framework as a regulatory requirement. Kenyans whose credit scores are below the minimum required by lending institutions for loan consideration are, however, faced with a decision of
The Central Bank of Kenya (CBK) has been pushing for a risk-based pricing framework to be adopted by the banking sector. As a result, commercial banks can now factor in a borrower's creditworthiness when applying for a new loan, loan top-ups, and during loan restructures.
Getting hold of a credit rating agency is essential for Small and Medium Enterprises (SMEs) considering the challenges they face when in need of business expansion capital or to cover operating expenses.
In Kenya, Metropol Credit Rating Agency (MCRA) assesses a firm’s financial viability, the risk
In his inaugural speech on September 13, 2022, H.E, the President, William Ruto - backed the assigning of credit scores to borrowers in a push to allow CRBs to ensure every Kenyan is not denied credit.