According to a recent announcement, Google will stop accepting mobile loan applications that do not follow the rules set out by the Central Bank of Kenya (CBK).
The move comes after CBK licensed 10 digital credit providers in the country and shut down the other 288.
Nearly four out of 10 Kenyans have used mobile apps to acquire loans at some point, and this number likely increased during the epidemic.
Check out the updated policy below.
- Lenders should complete the Personal Loan App Declaration for Kenya, and provide the necessary documentation to support their declaration.
- Digital Credit Providers (DCP) should complete the DCP registration process and obtain a license from the Central Bank of Kenya (CBK). You must provide a copy of your license from the CBK as part of your declaration.
- If you are not directly engaged in money lending activities and are only providing a platform to facilitate money lending by registered DCP(s) to users, you will need to accurately reflect this in the declaration and provide a copy of the DCP license of your respective partner(s).
- Currently, we only accept declarations and licenses from entities published under the Directory of Digital Credit Providers on the official website of the CBK.
On January 31st, 2023, the new policy will go into effect.