Entry Instance

HTTP 200 OK
Allow: GET, PUT, PATCH, DELETE, HEAD, OPTIONS
Content-Type: application/json
Vary: Accept

{
    "id": 1095819,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1095819/?format=api",
    "text_counter": 331,
    "type": "speech",
    "speaker_name": "Kitui West, WDM-K",
    "speaker_title": "Hon. (Ms.) Edith Nyenze",
    "speaker": {
        "id": 13513,
        "legal_name": "Edith Nyenze",
        "slug": "edith-nyenze"
    },
    "content": " Thank you, Hon. Temporary Deputy Speaker. From the outset, let me say that I support the amendment Bill. I note that the principal objective of amending the Central Bank of Kenya Act is to allow the Central Bank to regulate digital credit service providers and ensure that there is a fair and non- discriminatory market place for access to digital money. Regulating the digital market will really bring control. It will regulate and supervise the market. I note that some of these providers or the lenders, if you were asked where the offices of M-Shwari or Fuliza are, you will not know where they are. The Central Bank regulating and licensing mobile money lenders will give comfort to customers and borrowers. In case of any problem, they will know where to go. They will know where the offices are. The Central Bank is supposed to regulate, license by giving the place where the companies will be operating from and also giving the companies memorandum of association. These companies should also give evidence that they meet the minimum prescribed capital requirements. By doing so, it will give assurance to the borrowers that these are valid companies and they can borrow from them. Of interest is that the Central Bank is also regulating the interest rates because they are supposed to announce the interest rates before they are licensed. By announcing the interest rates, we will ensure that the market is controlled. This will bring competition in the sense that, if you announce your interest rates and the others announce theirs, there will be a level playing ground whereby the competition will be level. The interest rates will be lower because the companies are registered, they are known and their interest rates are known. Therefore, the borrowers will have access to where they can borrow money easily, do their businesses easily and at a lower rate. The Central Bank licensing the lenders will bring comfort to the customers and the lenders will also be protected. In doing so, the country will also be in a position to get good revenue. From the regulation, the registration and knowing who the players in the market are, the country will be able to know how much revenue there is and how much to charge these lenders. In doing so, we will also improve the economy of our country. This is a very welcome idea of regulating the digital market players. If you look at the people who borrow from this market, they are so many. Even MPs also borrow from such digital market lenders. This large number of people who borrow means that money is circulating at a very high rate. Revenue will be gotten easily than from other companies because this is something that will automatically go into record. There will be information of how much is transacted. It will be easy to regulate the revenue. By regulating and licensing the lenders, it will also create awareness that these are companies which are registered and they are offering the digital money. Then, more people will be able to borrow and make informed decisions of which of these lenders are best to borrow from. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}