Equity Bank Kenya in a push to further financial inclusion and economic growth, has revised its interest rates from 17.83 per cent to 17.39 per cent thanks to the recent move by the Central Bank of Kenya (CBK) to cut the Central Bank Rate (CBR) from 12.75 per cent to 12 per cent.
The lender has also kept the margin on loans capped at a maximum of 8.5 per cent a year to cushion consumers and businesses from expensive loans, while making it easier for many to access funds at lower rates.
The move will not only see a reduction in interest rates on new and existing Kenya Shilling-denominated credit facilities, starting Monday, November 18, 2024.
“With this reduction, all new and existing customers with Kenya Shilling-denominated loans will benefit from lower borrowing costs, providing immediate relief and supporting their financial aspirations,” Equity Group Managing Director and CEO James Mwangi, said.
For households, the lower interest rates will mean reduced borrowing costs, an increase in disposable income and providing families with more finance. This additional income can stimulate consumer spending, further driving economic growth. All things considered – the latest adjustment supports government initiatives to strengthen the nation’s economy.
“Equity Bank remains committed to broadening access to affordable credit, thereby empowering small businesses, entrepreneurs, and individuals to participate in Kenya’s growth journey,” he added.
