Police said Kelvin Wachira was deeply stabbed in the neck by a man only identified as Githinji in the fight that arose after the two allegedly disagreed on how the debt would be settled.
And after the incident, Githinji attempted to escape from the scene, witnesses and police said.
He was, however, chased and caught up by a mob who attacked and injured him fatally.
The two were later taken and pronounced dead separately at Nyeri Provincial General Hospital, police said.
Their bodies were taken to the Nyeri Referral Hospital Mortuary pending autopsy and probe.
Police discourage mob lynching and term it criminal.
Cases of mob lynching have been on the rise in the country.
The police want suspects arrested to be surrendered for processing and possible prosecution.
