Kenyan banks are poised to increase lending in the coming weeks, despite challenges like low consumer purchasing power and high government borrowing, as indicated by the Central Bank of Kenya (CBK) Market Perceptions Survey from May 2025.

• The CBK reduced the base lending rate by 25 basis points to 9.75%, promoting more borrowing.
• Key figures include CBK Governor Kamau Thugge, who affirmed the resilience and strong liquidity of the banking sector.
• Improved liquidity, stable macroeconomic conditions, and declining interest rates are driving demand for credit, especially among businesses in agriculture, manufacturing, and construction.