Relief for Borrowers in Plot to Limit Interest Charged on Loans
The petition seeks to ensure borrowers are not subjected to hefty interest rates by banks and microfinance institutions...
✨ Key Highlights
Kenya's National Assembly is addressing concerns over exorbitant interest rates on loans after a petition was filed to amend the Consumer Protection Act Cap 501. The petition seeks to enforce the in duplum rule, aiming to protect borrowers from predatory lending practices that see interest charges exceed the original principal.
- The in duplum rule, currently under Section 44A of the Banking Act, limits interest on non-performing loans to the outstanding principal.
- The petition was brought forth by Senior Counsel Allen Waiaki Kishore.
- National Assembly Speaker Moses Wetang'ula confirmed the petition has been committed to the Public Petitions Committee for review.
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Parliament Considers Bills on Police Term Limits, Land Zoning, Asbestos Ban, and Loan Interest Caps - September 2025
A new bill in the National Assembly seeks to impose age and term limits for the Inspector General and Deputy Inspector Generals of police, requiring appointees to be under 60 and introducing a five-year term for DIGs. In another legislative push, MPs are calling for the reintroduction of special land zoning laws to protect dwindling agricultural land from urban and infrastructural development. MPs are also urgently pushing for the nationwide removal of all asbestos roofing due to health risks, following a public petition. Furthermore, the National Assembly is addressing a petition to amend the Consumer Protection Act to enforce the in duplum rule, aiming to limit interest charged on loans.
