The Central Bank of Kenya (CBK) has licensed 29 additional Digital Credit Providers (DCPs), bringing the total number of licensed digital lenders in the country to 281.
The latest licensing follows the approval of 25 DCPs announced in July 2026 and is undertaken under Section 59(2) of the Central Bank of Kenya Act.
CBK said it has received more than 900 applications for digital credit provider licences since March 2022. The regulator has been working with applicants to review their business models, consumer protection measures and the fitness and propriety of proposed shareholders, directors and management.
According to CBK, the process is intended to ensure compliance with relevant laws and safeguard the interests of customers.
Licensed DCPs offer various digital loan products, including education loans, development loans, short-term personal loans, asset financing and business loans. The lenders predominantly conduct their activities digitally, including through Unstructured Supplementary Service Data (USSD) platforms.
As of August 2026, licensed digital lenders had issued 9,596,509 loans valued at KSh165.1 billion.
CBK said other applicants remain at different stages of the licensing process, with many awaiting submission of required documentation. The regulator urged them to submit pending documents promptly to facilitate completion of the review.
The licensing regime was introduced following concerns over predatory practices by unregulated digital lenders, including high lending costs, unethical debt collection practices and misuse of customers’ personal information.
