CBK Publishes List of 14 Microfinance Banks Licensed to Operate in Kenya

by Washington Mito on Wednesday, 24 April 2024 - 8:46 am

A file image of the Central Bank of Kenya (CBK) building in Nairobi.

Simon Kiragu

Kenyans.co.ke

The Central Bank of Kenya has published a list of microfinance institutions which are licensed to operate in the country.

In a notice dated Wednesday, April 24, it was noted that the licensed institutions were only 14 covering both those categorised as financial service providers allowed to operate nationally or within communities.

Microfinance institutions are financial institutions that offer banking services to low-income individuals or groups.

Among those institutions listed were; Faulu Microfinance Bank Limited, Kenya Women Microfinance Bank PLC, Salaam Microfinance Bank Limited, and SMEP Microfinance Bank PLC.

CBK Governor Kamau Thugge speaking at the Africa Climate Business Forum on November 2, 2023

Photo

CBK

Other licenced institutions were; LOLC Kenya Microfinance Bank PLC, Rafiki Microfinance Bank Limited, Branch Microfinance Bank Limited, Sumac Microfinance Bank Limited, U & I Microfinance Bank Limited and Umba Microfinance Bank Limited.

Choice Microfinance Bank Limited, Caritas Microfinance Bank Limited, On It Microfinance Bank Limited, Muungano Microfinance Bank PLC were also among those licensed to operate.

CBK noted that the list was published per the law given that the CBK is mandated to licensed such institutions.

According to the Microfinance (Deposit-Taking Microfinance Institutions) Act, CBK is expected to publish a list of all licensed microfinance institutions every year.

Additionally, it was revealed that the institutions were licensed between 2009 and 2019.

"Pursuant to Section 8(2) of The Microfinance (Deposit-Taking Microfinance Institutions) Regulations, 2008, the Central Bank of Kenya (CBK) hereby notifies the general public of the following institutions duly licensed to carry out the deposit-taking microfinance business in Kenya.

"A current list of these institutions and related information is available on CBK's website www.centralbank.go.ke," read the notice in part.

Below is the list of the licenced institutions;