The Central Bank of Kenya (CBK) has cut its benchmark rate by 25 basis points to 9.25%, marking the eighth consecutive reduction and the lowest level since January 2023. This decision aims to stimulate lending and economic recovery while maintaining inflation stability as inflation stood at 4.6% in September.

• The Monetary Policy Committee (MPC), chaired by Governor Dr. Kamau Thugge, approved this cut, which represents a cumulative 375-basis-point reduction since February 2024.
• Kenya's economy grew by 5.0% in Q2 2025, and the CBK projects growth of 5.2% in 2025 and 5.5% in 2026.
• The average lending rates have fallen to 15.1% from 17.2% in November 2024, with a non-performing loan (NPL) ratio declining to 17.1%. The next MPC meeting is scheduled for December 2025.