NAIROBI, Kenya— The Central Bank of Kenya (CBK) has licensed an additional 25 Digital Credit Providers (DCPs), raising the total number of approved digital lenders in the country to 252 as it continues to strengthen oversight of Kenya’s fast-growing digital lending sector.
The licensing was undertaken pursuant to Section 59(2) of the Central Bank of Kenya Act and follows the approval of 32 Digital Credit Providers in April 2026.
CBK said it has received more than 800 licence applications since March 2022 and has been working closely with applicants to assess their compliance with regulatory requirements.
According to the regulator, the review process has focused on applicants’ business models, consumer protection measures and the suitability of proposed shareholders, directors and management teams to ensure compliance with the law and safeguard customers’ interests.
The central bank acknowledged the cooperation of applicants as well as the support provided by other regulators and government agencies during the licensing process.
Digital Credit Providers primarily offer loans through digital platforms, including Unstructured Supplementary Service Data (USSD) channels. Their products include education loans, business loans, asset-financing facilities, development loans and short-term personal loans.
CBK said that, as of May 2026, licensed Digital Credit Providers had issued more than 8.37 million loans with a combined value of Sh150.56 billion, highlighting the growing role of digital lending in expanding access to credit across the country.
The regulator noted that while 25 additional providers have now been licensed, other applicants remain at various stages of the approval process, with many yet to submit the required documentation.
CBK urged those applicants to provide the outstanding documents promptly to facilitate the completion of their licence reviews.
The central bank also encouraged members of the public to report any unregulated Digital Credit Providers through its dedicated email channel as part of ongoing efforts to protect consumers from illegal lending operations.
According to CBK, the regulation of Digital Credit Providers was introduced following widespread public complaints over predatory lending practices by unregulated firms, including excessive loan charges, unethical debt collection methods and the misuse of customers’ personal information.
The regulator said continued licensing and supervision of digital lenders is intended to promote responsible lending practices while enhancing consumer confidence in Kenya’s digital financial services sector.