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Summary Figure rises from Sh400,000 to Sh600,000 as lenders go for large borrowers This, CBK says, has resulted in the overall reduction in customer accounts. CBK has at the same time warned over the risk of declining capitalisation in banks as a result of the law. The average loan size has risen from Sh400,000 to about Sh600,000 since the debut of the rate capping law in September 2016 as lenders shower large borrowers, deemed less risky, with cash. Bank and microfinance n.....

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Summary Kenyans are still averse to insurance as a mind-boggling 66 per cent are not insured. In 2016 the overall insurance penetration was 2.75 per cent in Kenya while the world average insurance penetration was six per cent in the same year. Uptake of insurance products among Kenyans remains low with a survey dubbed Wakenya quoting only 25 per cent of adult respondents saying they were insured. Another 66 per cent said they had no form of insurance. “Kenyans are still averse to.....

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SUMMARY Households reported that 39.3 per cent of the credit extended to them was spent on servicing subsistence needs- those that are necessary for their survival, such as buying food, domestic water and paying for housing- while 20.9 per cent was sunk into school fees. Households also borrowed money to purchase agricultural machinery (0.2 per cent), construction of dwellings (4.6 per cent), buy vehicles (one per cent) and livestock (1.3 per cent). The study also found that the most p.....