Booming digital credit triggers fresh push for fraud control

Digital lenders tighten security as mobile borrowing rises and fraud risks grow. [iStockphoto]

Kenya's digital lenders are tightening identity checks and account monitoring as more Kenyans rely on mobile credit for everyday expenses, with industry data showing usage climbing to 91 per cent of borrowers in 2026 from 87 per cent a year earlier.

The shift has made digital credit a primary door to formal financial inclusion and a prime target for fraudsters. TransUnion reported that 4.5 per cent of account creation attempts in Kenya were suspected of fraud in 2025, with the initial sign-up process identified as the most vulnerable moment for identity theft.