Banks to provide relief to borrowers following Coronavirus pandemic – KBC

Commercial Banks will seek to provide relief to borrowers on their personal loans based on their individual circumstances arising from the Coronavirus pandemic says Central Bank of Kenya (CBK).

In a statement Thursday, the bank says this will help alleviate the adverse economic effects customers may face following the Coronavirus pandemic (COV1D-19).

” While the extent of the adverse effects are still evolving, it is already evident that the impact on some of the customers may be severe.”

Other emergency measures that will apply for borrowers whose loan repayments were up to date as at March 2, 2020 include commercial banks to provide relief on personal loans, as they review requests from borrowers for extension of their loan for a period of up to one year. To initiate this process, borrowers should contact their respective banks.

Secondly, Medium-sized enterprises (SMEs) and corporate borrowers can contact their banks for assessment and restructuring of their loans based on their respective circumstances arising from the pandemic.

Banks will also meet all the costs related to the extension and restructuring of loans and facilitate increased use of mobile digital platforms in which banks will waive all charges for balance inquiry. Noting that all charges for transfers between mobile money wallets and bank accounts will be eliminated.

CBK says it is closely monitoring the implementation of these measures, particularly in light of the fast-evolving nature of the economic impact of the pandemic.