The Central Bank of Kenya (CBK) has announced the licensing of a further 27 new Digital Credit Providers (DCPs), bringing the total number of licensed digital lenders in the country to 153.
In a notice on Thursday, September 4, the regulator confirmed the licensing of the new providers, whose names were posted on CBK's official website. The move follows the licensing of another 41 DCPs in June 2025.
The CBK said the licensing process was carried out under Section 59(2) of the CBK Act, is part of ongoing efforts to ensure consumer protection and ethical lending practices in the financial technology space.
"The Central Bank of Kenya (CBK) announces the licensing of an additional 27 Digital Credit Providers (DCPs). This is pursuant to Section 59(2) of the Central Bank of Kenya Act (CBK Act). This brings the number of licensed DCPs to 153 following the licensing of 41 DCPs announced in June 2025," a statement from CBK read.
Since embarking on an initiative to tighten oversight of the rapidly growing digital lending sector, the CBK has received over 700 applications since March 2022.
This prompted the authority to work with applicants to evaluate key aspects such as their business models, governance structures , shareholder suitability and compliance with existing regulations.
According to the CBK, the newly-licensed DCPs offer a range of loan products ranging from personal loans, education financing, business loans and development credit.
These loans are typically disbursed through mobile platforms and USSD codes. As of June 2025, licensed DCPs had issued 5.5 million loans, valued at around Ksh76.8 billion.
The CBK further noted that the licensing and regulation of DCPs were promoted by widespread concerns from members of the public over predatory tendencies from some lenders, who were previously unregulated.
Key issues highlighted included astronomically high interest rates, intimidation in debt collection and misuse of borrowers' personal data.
CBK emphasised that licensed DCPs are expected to be fully compliant with consumer protection standards and conduct themselves ethically.
While some applications remain under review, CBK urged pending applicants to submit required documentation to facilitate the licensing process quickly.
