Kikuyu Member of Parliament (MP) Kimani Ichung'wa has called for regulation of interest rates being charged by Saccos and shy-locks.
Ichungwa claims that some saccos are charging exorbitant rates on loans by borrowers.
The MP says that many Kenyans are suffering in silence as a result of high interest rates on their loans by some saccos.
“As we celebrate the new law on banking rates it is important that we develop similar regulations to cushion Kenyans form exorbitant interest rates charged by saccos and shy-locks,” he said open Wednesday during an interview with journalists at Parliament Buildings in Nairobi.
He stated that the government needs to cushion its people from greedy business people who are after minting money.
The MP while lauding the new banking laws on interest rates said that it’s a new dawn for Kenyans.
“We have been waiting for a long time when interests’ rates by banks will be capped and now we have a new law that will protect from,” he said.
On Wednesday President Uhuru Kenyatta signed into law the Banking Amendment Bill of 2015 that seeks to regulate interest rates charged by banks on loans.
The assent to the Bill by the head of State has been lauded by politicians, Kenyans and industry stakeholders.