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{
    "id": 632470,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/632470/?format=api",
    "text_counter": 177,
    "type": "speech",
    "speaker_name": "Hon. (Ms.) Sanjeev",
    "speaker_title": "",
    "speaker": {
        "id": 13136,
        "legal_name": "Sunjeev Kour Birdi",
        "slug": "sunjeev-kour-birdi"
    },
    "content": "Thank you, Hon. Temporary Deputy Speaker. As I was saying, supporting this Bill is a no brainer because the justification is very simple. If we give our economy a very good tool of being able to borrow money at a low rate, then the average Kenyan will be able to afford to borrow a loan for his business and development. After research, I found out that banks are against this Bill so that they can keep on making profits and have a stronger Kenyan Shilling. The reason we have a weak Kenyan Shilling is because we do not export as much as we import. As an economy, when we import more, the value of our shilling depreciates in the international market. Therefore, the banking industry argues that having a higher interest rate is actually giving the Kenyan Shilling a better value in the international market. However, you could argue that why do we, as an economy, not increase our exports? Improving our manufacturing and exporting sector, which gives us more jobs and brings more value to the shilling is in line with Vision 2030. To me, that makes more sense. One of the major points in this Bill is the disclosure of all the charges, terms and conditions. This is very important. There is a common saying that a buyer must beware. However, many Kenyans get swayed because they are under pressure to get money to do their daily businesses. So, they do not read the small print and in the end they get stranded. This is the reason we have a high rate of debt collection. People who have taken loans have to sell their assets and get into deeper depression and poverty which is not good for them. One thing I would like to amend in this Bill is on the offences committed by banks and financial institutions. The Bill says that the offenders should be fined not less than Kshs1 million or be jailed for a term of one year, or both. I think that this offence should be chargeable for a fine of not less than Kshs10 million. Banks make enough money and so they should be charged exorbitant amount like a penalty of Kshs10 million and not Kshs1 million. I will propose this amendment and I hope it will see the light of day. I can see my time is up. I urge the House to join hands and pass this Bill so that Kenyans can reap the benefits of low interest rates. If we do that, we will move to economic and social prosperity."
}