Banking & Finance
Acting for Kenyan commercial banks, microfinance banks, DFIs, fintechs and corporate borrowers on bilateral and syndicated lending, project finance, asset finance, trade finance and security creation and enforcement. Regulatory advice spans Banking Act licensing, CBK prudential guidelines, the Microfinance Act, the National Payment System Act and the Digital Credit Providers Regulations.
What we advise on. We act on bilateral and syndicated lending, project and infrastructure finance, asset and equipment finance, trade and supply-chain finance, acquisition finance, and the creation, perfection and enforcement of security — debentures, charges over land, share charges, chattels mortgages and guarantees. On the regulatory side we advise banks, microfinance banks, digital lenders and payment providers on licensing, prudential compliance and product structuring.
Governing law and regulators. Our work spans the Banking Act, the Central Bank of Kenya Act and CBK prudential guidelines, the Microfinance Act, the National Payment System Act, the Movable Property Security Rights Act and the Digital Credit Providers Regulations 2022. We engage directly with the Central Bank of Kenya on licensing and approvals.
Who we act for. We represent lenders and borrowers on both sides of the table — commercial banks, development finance institutions (DFIs), microfinance banks, fintechs and digital-credit providers, and the corporates and project companies that borrow from them. Acting regularly for both sides means we know where a deal will snag and how to structure around it.
Why OLM for banking and finance. We draft security that holds up under enforcement and documentation that survives scrutiny, and we are pragmatic about the commercial pressure of a financing timetable. For digital lenders, our combined banking and data-protection capability is a genuine advantage in a rapidly regulating market.
Frequently Asked Questions
Do digital lenders need a licence in Kenya? Yes. Since the Digital Credit Providers Regulations 2022, digital-credit providers must be licensed by the Central Bank of Kenya and comply with pricing-disclosure, debt-collection and data-protection requirements. We handle the licensing application end to end.
What security can a lender take over assets in Kenya? Common security includes charges over land, debentures over company assets, share charges, chattels mortgages over movable property (now registered under the Movable Property Security Rights Act) and guarantees. The right package depends on the borrower’s asset base and the facility.
How are foreign-currency loans treated in Kenya? Foreign-currency lending is permitted and common in project and trade finance, subject to CBK reporting and the borrower’s foreign-exchange exposure. We advise on withholding tax on interest and on currency-risk allocation in the documents.
What licences does a bank need to operate in Kenya? Banks require licensing by the Central Bank of Kenya under the Banking Act and must meet capital, governance and prudential requirements. We advise on licensing applications and ongoing CBK compliance.
How are digital lenders regulated in Kenya? Digital-credit providers must be licensed by the Central Bank of Kenya under the Digital Credit Providers Regulations 2022 and comply with pricing-disclosure, debt-collection and data-protection rules. We handle the licensing end to end.