In a strategic move to stimulate economic growth, Kenya's Central Bank has reduced the benchmark interest rate from 10.00% to 9.75%. This decision, effective as of June 2025, marks a pivotal shift in monetary policy since the last rate adjustment in April 2025.
The relaxation in the interest rate reflects the Central Bank's commitment to invigorating economic activities amidst evolving economic conditions. The reduction is intended to make borrowing more affordable for businesses and consumers, thereby encouraging increased spending and investment.
As of the latest update on June 10, 2025, the monetary policy shift is positioned as a response to the current economic landscape, aiming to foster a more conducive environment for sustainable economic development in Kenya. Stakeholders will be closely monitoring the impact of this decision on the broader economy in the coming months.
