Central Bank hints at easing tight credit environment

CBK Governor Patrick Njoroge

Central Bank of Kenya (CBK) has hinted that it will ease prevailing tight credit policies to give room to businesses and economy to grow.

Patrick Njoroge, the CBK Governor reckoned that the Government fiscal position has improved since the interest rate crisis and there was no reason for CBK to maintain its tight credit policy. He, however, noted that CBK will be closely monitoring the situation and adjust accordingly. Addressing editors at a news conference, Njorogo said the expected shift that comes as a major relief to hard hit borrowers will be supported by Treasury’s plan to cut State’s budgetary expenditures.