Out of the 288 applications received, the Central Bank of Kenya has approved only 10 Digital Credit Providers.
CBK had previously announced that all unregulated Digital Credit Providers would be required to apply for a license by September 17, 2022.
CBK said in a statement on Monday that they are still reviewing those who have not been approved.
“Other applicants are at different stages in this process, largely awaiting the submission of requisite documentation. This means that the list might go higher than 10 companies and there is a high chance that the majority of them could get rejected,” part of the statement read.
Ceres Tech Limited, Getcash Capital, Jijenge Credit, Giando Africa, Kweli Smart Solutions, and Mwanzo Credi Limited are among the ten service providers.
Others include Sokohela Limited, Sevi Innovation, Rewot Ciro, and MyWagepay Limited.
CBK has urged applicants to submit the pending documentation as soon as possible so that the review of their applications can be completed.
It also warned all other unregulated DCPs that did not apply for licensing to stop conducting digital credit business.
This follows the expiration of the 6-month transition period following the publication of CBK digital online regulations in March.
“We urge these applicants to submit the pending documentation expeditiously to enable the completion of the review of their applications. All other unregulated DCPs that did not apply for licensing must cease and desist from conducting digital credit business,” reads the statement further.
President Uhuru Kenyatta approved the Central Bank Amendment Bill, 2021 in December, giving the CBK authority to regulate non-deposit-taking credit providers, who had previously been largely unregulated.
The law gives the regulator the authority to revoke the licenses of digital lenders who violate the confidentiality of personal information in order to pursue defaulting borrowers and those who charge exorbitant interest rates on loans.
