The Central Bank of Kenya (CBK) has officially approved licenses for 25 additional Digital Credit Providers (DCPs), raising the total number of regulated digital lenders in the country to 252 as of July 2026.

This latest regulatory milestone follows a previous licensing round of 32 digital lenders in April 2026, marking a continuous effort by the regulator to police the fast-growing financial sector.

Since introducing the licensing framework in March 2022, the CBK has received more than 800 applications from various entities, engaging in a rigorous, ongoing review process with applicants.

According to the CBK, digital credit providers mainly operate through mobile applications and Unstructured Supplementary Service Data (USSD) codes.

They offer a wide array of digital credit options, including educational loans, development financing, short-term personal funding, asset financing, and business loans.

Drastic growth

The sector has grown into a cornerstone of the country’s credit ecosystem; by May 2026, licensed DCPs had disbursed over 8.37 million loans worth approximately Sh150.56 billion to Kenyan consumers.

The CBK’s licensing process places significant emphasis on reviewing business models, consumer protection frameworks, and the overall fitness and integrity of the proposed shareholders, directors, and management teams.

This oversight is designed to safeguard the interests of ordinary consumers.

The regulator introduced these stringent measures following widespread public complaints about predatory lending practices, which included exorbitant borrowing costs, unethical debt collection methods, and the unauthorized abuse of personal information.

Among the newly approved providers added to the registry are Nirvana Credit, Numida Technologies, Onward Digital, and Payablu Credit.

While celebrating this progress, the CBK has urged other applicants currently navigating the system to expedite the submission of their pending documents so the regulator can finalize their outstanding reviews.