Coronavirus: Banks to Extend Individual Loan Repayment to 1 Year

The CBK Governor, Patrick Njoroge has instructed all Kenyan banks to extend individual loan repayment periods to up to one year given the current economic state due to the Coronavirus pandemic.

This comes after 4 positive cases of coronavirus were confirmed in the country yesterday by Health CS, Mutahi Kagwe.

The majority of Kenyans have chosen to stay home and avoid contact with the outside world and this has had an effect on businesses across the country.

Patrick Njoroge, during a press briefing held at the Statehouse, together with President Uhuru said that with the current crisis of the coronavirus in the country, Kenyans would find it hard to repay loans and thus asked banks to implement the measures.

Additionally, the CBK Governor has asked SMEs to reach out to their respective banks so as to discuss the possible restructuring of their loans, given that they are the most affected by the effects of the coronavirus in the country.

In line with the economy going cashless so as to curb the spread of coronavirus, the CBK has asked banks to scrap charges on their mobile banking systems such as bank inquiry charges and mobile transactions.

Already, Safaricom has contributed its own share to help the economy go cashless after scrapping M-Pesa charges for transactions of less than 1,000 shillings.

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