Digital lenders have commended the government for implementing a revised regulatory framework that has brought greater transparency and structure to the digital lending sector. Speaking at the 2025 Think Business Digital Lenders Awards Gala held last night, industry leaders highlighted the significance of the regulations in fostering sustainable growth in an industry that continues to expand rapidly.
According to a recently released report by the Digital Financial Services Association of Kenya, Kenyans borrow an estimated Ksh 500 million daily through digital lending platforms, translating to Ksh 15 billion per month. Industry experts attribute this surge to improved consumer protection measures and enhanced regulatory oversight introduced by the government.
Rakesh Kashyap, Managing Director of Little Pesa, noted that the new regulatory framework has significantly lowered barriers to entry, enabling a more inclusive and competitive digital lending market. “With these regulations in place, we are witnessing increased trust from borrowers and a more sustainable business environment for lenders,” Kashyap remarked.
During the awards ceremony, Little Pesa was named the overall best digital lender, while Umoja Ufanisi won the title of the most affordable lender. Meanwhile, Fincorp Credit was recognized as the best digital lender for individuals and small businesses. The awards aim to promote best practices and recognize excellence in the provision of digital loans in Kenya.
The digital lending industry continues to play a pivotal role in bridging financial gaps for millions of Kenyans. Stakeholders believe that with continued regulatory support, the sector will further enhance financial inclusion and economic empowerment across the country.