Updated Fri, August 26th 2016 at 14:04 GMT +3The Cooperative Bank of Kenya has announced compliance with Banking Act Amendment, to start offering new credit at a rate of 14.5 per cent annually PHOTO: COURTESYThe Cooperative Bank of Kenya has announced compliance with Banking Act Amendment, to start offering new credit at a rate of 14.5 per cent annually. The bank became the first financial institution to announce compliance with the new Banking Act Amendment, capping interest rates on loans. “Cooperative Bank will now offer all new credit facilities at a rate not exceeding 14.5 per cent per annum." In his statement, Muriuki added that the Banking (amendment) Act sets the maximum interest rate chargeable for credit facility at 4 per cent above the Base Rate published by the Central Bank of Kenya. The new interest capping laws have been hailed by many Kenyans who have been paying prohibitive costs with some up to 26 per cent.

Source: Standard Digital August 26, 2016 10:41 UTC