Co-operative Bank on Friday became the first lender to direct its managers to comply with the new interest capping law . Managing director Gideon Muriuki said the second-largest lender by assets will apply the 10.5 per cent Central Bank Rate as base rate, pending issuance of guidelines by the Central Bank of Kenya. The law caps interest at four percentage points above the base rate to be determined by the Central Bank. Mid-tier NIC's shares fell by 9.43 per cent, Standard Chartered Bank's by 6.86 per cent while Barclays Bank shares traded 3.95 per cent lower than Thursday. CfC Stanbic and National Bank showed some recovery to gain 2.04 and 0.71 per cent respectively on their stocks on the bourse.

Source: The Star August 26, 2016 11:37 UTC