This archive report was first published on 14 May 2020.
As the Covid-19 pandemic continues to affect businesses and individuals, Okolea International Limited, a leading digital lender, has taken steps to mitigate the impact on its customers. In response to customer requests and the Central Bank of Kenya's (CBK) directive, Okolea has introduced a loan restructuring program to provide relief to borrowers in distress.
According to Okolea CEO, Mr. Muraya, the company has restructured loans for close to 40,000 customers, allowing them to stagger their payments across several months. This has enabled customers to continue servicing their loans in a timely manner.
Okolea has also removed from negative listing all customers with loans below Ksh 1,000, in line with the government's directive. This move is seen as a step in the right direction, as most of these customers are either unemployed or students, and this could have been a barrier for getting employment in some institutions.
Mr. Muraya has also called on the CBK to engage digital lenders through their association, Digital Lenders of Kenya, in regards to the data submission of customers to Credit Reference Bureaus (CRBs). He believes that not allowing lenders with good practices to submit data could deny good customers a chance to strengthen their credit profiles.
Okolea has been at the forefront of pursuing consumer protection and advocating for responsible lending. While some lenders have discontinued lending to their customers, Okolea continues to lend to new and existing qualifying customers.
