Kenya's Parliament has approved a proposal to cap interest rates charged by digital lenders and savings and credit cooperatives (Saccos). The move comes after a committee recommended changing the law to enforce the "in duplum" rule, a legal principle that limits interest on defaulted loans to the original principal amount. This would prevent lenders from charging excessive interest, which has sparked public concern over debt sustainability. The new regulation aims to protect borrowers from predatory lending practices, particularly among low-income individuals who often rely on digital financial services. The proposal now moves to the next legislative stage for final approval. (eastleighvoice.co.ke)
