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The Central Bank of Kenya's (CBK) Governor Patrick Njoroge has cautioned digital lending apps against predatory practices during the Christmas period. This comes as the parliament considers a legal amendment that would bring the apps under CBK regulation. The regulation will include capping interest rates as well as approving fees and charges on the loans. Digital lending apps are popular among low earners as they do not require collateral from borrowers. However, concerns have been raised about their high interest rates.
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