Kenya's six top-tier lenders will be the hardest hit by the proposed Banking (Amendment) Bill, 2017 that seeks to include fees and commissions in the cap on loan charges, analysts warned. The Banking (Amendment) Act, 2016, enforced last September, capped interest rates on loan at four percentage points above the 10 per cent Central Bank Rate. The non-interest charges on loans largely comprise of legal, insurance and consultation fees. The lenders adopted the APR framework from July 2014 to help customers accurately compare interest rates in different banks to make informed decisions. Co-operative's share was 1.07 per cent, Barclays' (0.97 per cent), CBA's (0.41 per cent) and StanChart's (0.27 per cent).

Source: The Star February 14, 2017 20:44 UTC