Central Bank of Kenya awards microfinance licence
The Central Bank of Kenya has awarded a new licence to the country's second microfinance business.It has given Kenya Women Finance Trust Deposit Taking Microfinance (KWFT DTM) permission to operate its business nationwide. The firm currently provides credit to over 334,000 female clients across Kenya and the new licence will enable it to increase the range of finance options it offers customers and launch savings products to accompany its loans offerings.
In a statement, the central bank - which last month lowered the base rate to 6.75 per cent - said the issuing of the licence "marks a major milestone in the microfinance sector and the financial sector at large".
It added the move is part of its mission to find "innovative solutions" that will give unbanked members of the Kenyan population greater access to finance.
KWFT DTM is the second microfinance firm to be approved by the bank, after Faulu Kenya Deposit Taking Microfinance was granted a licence in May 2009.