A parliamentary committee has opposed a proposal by National Treasury to have the interest rate capping law repealed saying it will subject Kenyans to expensive credit at the expense of commercial banks, a majority of them multinationals.
The proposal to amend section 33 (b) of the Banking Act, is contained in the Finance Bill 2019, currently before the National Assembly.
At a meeting with acting National Treasury Cabinet Secretary Ukur Yattani, his Principal Secretary Dr Julius Muia and officers from Kenya Revenue Authority (KRA), to consider the bill, members of the Finance and National Planning Committee of the National Assembly opposed the move saying it will make bank loans expensive.