The Central Bank of Kenya (CBK) has approved 27 additional digital credit providers, pushing the total number of licensed lenders in the country to 153.
In a notice issued on Thursday, September 4, the regulator confirmed that the new entrants had successfully completed a rigorous licensing process, which also saw 41 firms approved earlier in June.
The exercise, conducted under Section 59(2) of the CBK Act, is part of ongoing reforms to streamline Kenya’s digital lending sector, a space that has faced intense scrutiny over concerns about consumer exploitation.
“CBK announces the licensing of an additional 27 Digital Credit Providers (DCPs)… This brings the total number of licensed DCPs to 153,” the statement read in part.
Since March 2022, more than 700 applications have been submitted by aspiring lenders. Each application has been subjected to strict vetting, covering areas such as governance, shareholder fitness, compliance, and overall business models.
Licensed providers now offer a wide spectrum of loan products from quick personal loans to education, business, and development financing — with most transactions conducted via mobile apps and USSD platforms. By June 2025, these institutions had already disbursed 5.5 million loans worth approximately Ksh76.8 billion.
The CBK has emphasized that its regulatory drive was fueled by widespread public concerns. Prior to the reforms, many borrowers complained of predatory interest rates, harassment during debt collection, and misuse of personal data by unregulated players.
By tightening oversight, the regulator says it aims to balance financial inclusion with strong consumer safeguards, ensuring Kenyans can access credit without being exposed to exploitation.
