Due to the negative impact on to the Kenyan economy caused by the COVID-19 pandemic, the Central Bank of Kenya (CBK) through Monetary Policy Committee has taken another emergency measures to protect the mwananchi.
On a Monday 23rd March 2020 meeting ,the MPC chaired by the CBK Governor resolved to lower even further the Central Bank Rate (CBR) from 8.25 percent to 7.25 percent.
With a CBR of 7.25 percent all commercial banks regulated by the CBK are expected to charge affordable interest rates on all new loan facilities this hard time caused by the virus.
MPC also resolved to lower Cash Reserve Ratio (CRR) from 5.25 percent to 4.25 percent a difference of a whole one percent to trigger availability of cash to the banks.
The 4.25 percent CRR has allowed the release of kes35.2 billion as extra cash liquidity to the commercial banks and the intention was to help bank lend more to the Kenyans distressed by the COVID-19 (Coronavirus) impact.
Advertisements
Write a comment
Post a Comment
Loans Kenya Blog admin will never approve abusive or inciteful comments. In addition, avoid including sensitive or private personal information in your comments for your own online safety.