CBK licenses 12 more Digital Credit Providers

This now pushes the total number of approved DCPs to 22 following the licensing of 10 others in September 2022.

A communiqué from CBK on Monday said that the additional DCPs will allow the safeguarding of customers' interests and improve customer protection engagements.

"The focus of the engagements has been inter alia on business models, consumer protection and fitness and propriety of proposed shareholders, directors, and management," read the statement from CBK.

"This is to ensure adherence to the relevant laws and importantly that the interests of customers are safeguarded. We acknowledge the efforts of the applicants and the support of other regulators and agencies in this process."

Meanwhile, other applicants seeking operational approval have been urged to submit the pending documentation to complete the review of their applications.

Oversight of the DCPs operating in the country was prompted by concerns raised by the public about the fraudulent practices of the unregulated DCPs, and in particular, their high cost, unethical debt collection practices, and the abuse of personal information.