CBK Licenses 29 More Digital Credit Providers, Bringing Total to 281

On Wednesday, the Central Bank of Kenya (CBK) announced the licensing of 29 additional Digital Credit Providers (DCPs), increasing the total number of licensed digital lenders to 281. This licensing comes under Section 59(2) of the Central Bank of Kenya Act. The new licenses followed the CBK's issuance of 25 DCPs in July 2026. The regulator stated that over 900 applications had been received since March 2022, and it has been reviewing these submissions focusing on the operating models, consumer protection, and the fitness of proposed shareholders, directors, and management.

This process aims to ensure that digital lenders comply with relevant laws and protect customer interests. Licensed DCPs primarily offer loans via digital platforms like USSD codes, providing various loan products such as education loans, development loans, personal loans, asset-financing, and business loans. By August 2026, licensed DCPs had issued 9,596,509 loans worth Sh165.1 billion.

The CBK urged applicants with pending documents to submit them promptly to expedite the review process. These licensing efforts were initiated in response to public concerns regarding unregulated digital lenders, including high lending costs, unethical debt collection practices, and misuse of personal information. The licensing framework aims to bring digital lenders under regulatory oversight, enhancing consumer protection in the rapidly expanding digital credit market.