Kenya's biggest bank shares slump again after rates cap

PUBLISHED: Fri, 26 Aug 2016 07:52:22 GMT
Share

Shares in KCB Group, operator of Kenya’s biggest bank by assets, fell by 10 percent at the start of trading on Friday as investors reacted to a government move to cap the level of interest that banks can charge borrowers.

Equity Bank, which serves millions of micro-borrowers, fell by a similar margin.

KCB’s shares were trading at 27 shillings ($0.2665) each while shares of Equity traded hands at 29.50 shillings as of 0648 GMT.

Sign Up for Our Newsletter Daily Update
Get the best of CNBC Africa sent straight to your inbox with breaking business news, insights and updates from experts across the continent.
Get this delivered to your inbox, and more info about about our products and services. By signing up for newsletters, you are agreeing to our Terms of Use and Privacy Policy.