Kenya’s central bank seeks powers to take over struggling fintechs
- The Central Bank of Kenya (CBK) is seeking powers to take over struggling payment companies under the National Payment System Bill, 2026.
- The bill allows CBK to intervene when payment service providers fail to meet obligations to customers or threaten financial stability.
- CBK can appoint a statutory manager to oversee the sale of a troubled business and remove company officials deemed responsible.
The proposed National Payment System Bill represents a significant step towards enhancing consumer protection in Kenya's payment industry. By empowering the Central Bank to intervene in failing payment companies, it aims to safeguard customer funds and maintain financial stability. However, the potential for restricted access to funds during management changes raises concerns about customer trust and the operational viability of affected companies.
