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Law Capping interest rates
obiero
#2541 Posted : Thursday, June 21, 2018 2:49:28 PM
Rank: Elder

Joined: 6/23/2009
Posts: 14,217
Location: nairobi
ngapat wrote:
[quote=obiero]Jude Njomo, the brain behind the rate caps says: “Initially, credit was available but unaffordable. Today, credit is affordable but not available” #InterestRateDebate I will ensure that the rate cap is not repealed, via parliament https://www.standardmedi...epeal-interest-rate-law[/quote]

That is what happens when the law of demand and supply is not followed.
For electricity they say its better to have expensive power than have no power at all. Wonder whether this can also apply to credit.
Would we rather have expensive credit or no credit at all.

Better no credit than sickeningly expensive credit that cripples industry players such as what we are witnessing

KQ ABP 4.26
ngapat
#2542 Posted : Thursday, June 21, 2018 3:04:41 PM
Rank: Veteran

Joined: 12/11/2006
Posts: 930
obiero wrote:
ngapat wrote:
[quote=obiero]Jude Njomo, the brain behind the rate caps says: “Initially, credit was available but unaffordable. Today, credit is affordable but not available” #InterestRateDebate I will ensure that the rate cap is not repealed, via parliament https://www.standardmedi...epeal-interest-rate-law[/quote]

That is what happens when the law of demand and supply is not followed.
For electricity they say its better to have expensive power than have no power at all. Wonder whether this can also apply to credit.
Would we rather have expensive credit or no credit at all.

Better no credit than sickeningly expensive credit that cripples industry players such as what we are witnessing

There are two sides in this credit market. There is the borrower and the lender. The borrower is looking for cheap credit while the lender is looking for inflation beating returns with minimal risks.
The govt has only looked at one side of the equation i.e the borrower. What incentives has the Govt given the lender to make him lend at the rates they are dictating. Is the Govt willing to act a Guarantor of those loans
“Invest in yourself. Your career is the engine of your wealth.”
Ericsson
#2543 Posted : Monday, July 30, 2018 5:07:34 PM
Rank: Elder

Joined: 12/4/2009
Posts: 10,804
Location: NAIROBI
CBK rate lowered to 9% at the MPC meeting today
Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
obiero
#2544 Posted : Monday, July 30, 2018 7:35:40 PM
Rank: Elder

Joined: 6/23/2009
Posts: 14,217
Location: nairobi
Monk wrote:
winmak wrote:
obiero wrote:
murchr wrote:
mlennyma wrote:
Dead,burial plans underway


Laughing out loudly Laughing out loudly


Not soo fast. Hold on and observe. Hapa ndio watu hupigwa kumbo


Widest disparity in budgets are seen in a pre an immediate post election budget. All populist measures must go


It's going to be interesting to see how the SME sector deals with the latest blow, the presumptive tax in Jan 2019, to be able to renew their Business permits. They still have no access to credit from Banks to pay the tax upfront.

Single digit lending is on the horizon

KQ ABP 4.26
obiero
#2545 Posted : Monday, July 30, 2018 7:37:16 PM
Rank: Elder

Joined: 6/23/2009
Posts: 14,217
Location: nairobi
obiero wrote:
Spikes wrote:
obiero wrote:
mlennyma wrote:
obiero wrote:
murchr wrote:
obiero wrote:
Angelica _ann wrote:
murchr wrote:


Wow KCB headed to 70bob!!!


Kenya Govt and the People of Kenya are distinct


Layman English please

The law won’t be reversed


to repeal is to abolish/anull a law or an act of parliament. .prophet obiero you mean this word was used wrongly ?

I mean that it was a political response to IMF that will not garner real political support in the House. To repeal it cannot be via twitter feeds, this thing is hardcoded in wanjiku who prefers no debt to the mercinary rates that were being bandied by Kenyan banks


It should be mercenary. The problem emanates from attending shithole schools where a young bugger used to receive instructions under a tree inside squalid makeshift structures.

It was written.. MPs will not support the amendment via orders from above!

Anyone still waiting for a repeal? Bank margins continue being squeezed via the main income line being lending.. It's not easy for the Kenyan financial industry right now. Expect more consolidation

KQ ABP 4.26
newfarer
#2546 Posted : Tuesday, July 31, 2018 7:02:01 AM
Rank: Elder

Joined: 3/19/2010
Posts: 3,505
Location: Uganda
muandiwambeu
#2547 Posted : Wednesday, August 01, 2018 8:54:11 PM
Rank: Veteran

Joined: 8/28/2015
Posts: 1,247
ngapat wrote:
obiero wrote:
ngapat wrote:
[quote=obiero]Jude Njomo, the brain behind the rate caps says: “Initially, credit was available but unaffordable. Today, credit is affordable but not available” #InterestRateDebate I will ensure that the rate cap is not repealed, via parliament https://www.standardmedi...epeal-interest-rate-law[/quote]

That is what happens when the law of demand and supply is not followed.
For electricity they say its better to have expensive power than have no power at all. Wonder whether this can also apply to credit.
Would we rather have expensive credit or no credit at all.

Better no credit than sickeningly expensive credit that cripples industry players such as what we are witnessing

There are two sides in this credit market. There is the borrower and the lender. The borrower is looking for cheap credit while the lender is looking for inflation beating returns with minimal risks.
The govt has only looked at one side of the equation i.e the borrower. What incentives has the Govt given the lender to make him lend at the rates they are dictating. Is the Govt willing to act a Guarantor of those loans

I have also noted, so, who will help @Ngapat to note too. After all, who are you not to get informed and be responsible accordingly,🤗🤔🤧🤕🤓😕🙃

"The MPC noted that inflation expectations were well anchored within the target range, and that economic growth prospects were improving," CBK Governor Patrick Njoroge said on Monday.

"Furthermore, economic output was below its potential level, and there was some room for further accommodative monetary policy," Njoroge, who also chairs the MPC added
,Behold, a sower went forth to sow;....
KulaRaha
#2548 Posted : Thursday, August 02, 2018 8:21:16 AM
Rank: Elder

Joined: 7/26/2007
Posts: 6,514
rate cap law will not be repealed but rather it will be mutated.

Deposit rate floor will be removed. Cap will remain.
Business opportunities are like buses,there's always another one coming
Ericsson
#2549 Posted : Thursday, August 02, 2018 8:36:53 AM
Rank: Elder

Joined: 12/4/2009
Posts: 10,804
Location: NAIROBI
KulaRaha wrote:
rate cap law will not be repealed but rather it will be mutated.

Deposit rate floor will be removed. Cap will remain.


we wait to see
Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
obiero
#2550 Posted : Monday, August 20, 2018 9:47:06 PM
Rank: Elder

Joined: 6/23/2009
Posts: 14,217
Location: nairobi
obiero wrote:
obiero wrote:
Spikes wrote:
obiero wrote:
mlennyma wrote:
obiero wrote:
murchr wrote:
obiero wrote:
Angelica _ann wrote:
murchr wrote:


Wow KCB headed to 70bob!!!


Kenya Govt and the People of Kenya are distinct


Layman English please

The law won’t be reversed


to repeal is to abolish/anull a law or an act of parliament. .prophet obiero you mean this word was used wrongly ?

I mean that it was a political response to IMF that will not garner real political support in the House. To repeal it cannot be via twitter feeds, this thing is hardcoded in wanjiku who prefers no debt to the mercinary rates that were being bandied by Kenyan banks


It should be mercenary. The problem emanates from attending shithole schools where a young bugger used to receive instructions under a tree inside squalid makeshift structures.

It was written.. MPs will not support the amendment via orders from above!

Anyone still waiting for a repeal? Bank margins continue being squeezed via the main income line being lending.. It's not easy for the Kenyan financial industry right now. Expect more consolidation

Watch and learn. No MP will risk loosing the next term https://www.businessdail...21546-ki208bz/index.html

KQ ABP 4.26
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