Commercial banks late last year increased interest rates payable on loans because of the high inflation rate and the bank rate that was reviewed upwards to 18 per cent.
The inflation rate, which hit a high of 19.7 per cent, has since reduced to 10.5 per cent. The Monetary Policy Committee of the Central Bank also met last week and reviewed the bank rate to 16.5 per cent.
We appeal to Cooperative Bank of Kenya to move with speed and lower the interest rate to reflect the recent changes. Cooperative societies are finding it very difficult to manage loans issues for their members.
Isedorius Ochola Agola (Chairman Coast Association of Fosas), Mombasa