The Central Bank of Kenya (CBK) has approved licences for an additional 42 Digital Credit Providers, raising the total number of authorised operators in the country to 195 as it steps up regulation of the fast-growing digital lending space.
In a statement issued on Tuesday, December 30, the regulator said the approvals were granted under Section 59(2) of the Central Bank of Kenya Act. The latest cohort adds to the 27 digital lenders that were licensed in September 2025.
The move follows a surge of interest in the sector, with CBK revealing that it has received more than 800 applications since March 2022. The bank noted that it has been engaging applicants throughout the process to assess compliance and address regulatory requirements.
According to CBK, discussions with digital lenders have focused on the robustness of their business models, consumer protection safeguards, and the suitability and integrity of proposed shareholders, directors and senior management.
Digital Credit Providers largely operate through digital platforms, offering loans via USSD codes and mobile applications. Their products span a wide range, including education and development loans, short-term personal credit, asset financing and business lending.
As at November 2025, licensed digital lenders had issued approximately 6.6 million loans worth KSh109.8 billion, underscoring the sector’s growing influence within Kenya’s financial system.
Also Read: Maina Njenga, Kiambu Leaders Call For Unity In Country
CBK said the full list of the 195 licensed Digital Credit Providers is available on its website. Other applicants remain at various stages of the approval process and are required to submit outstanding documentation before final decisions are made.
To further protect consumers, the regulator has set up a channel for members of the public to report concerns about unlicensed or non-compliant digital lenders. Complaints can be submitted via email to dcrs@centralbank.go.ke.
The crackdown on digital lenders follows widespread public complaints over predatory practices by unregulated operators, including excessive interest rates, hidden charges, aggressive debt collection methods and misuse of borrowers’ personal data.
Separately, the Central Bank also released its indicative foreign exchange rates for December 30, 2025. The Kenya shilling was trading at KSh129.0000 against the US dollar, KSh174.3371 against the British pound and KSh151.9169 against the euro.
Regional currency rates showed the Ugandan shilling at KSh28.0388, the Tanzanian shilling at KSh19.1667, the Rwandan franc at KSh11.2902 and the South African rand at KSh7.7439.
