The Lower Eastern Times Opening The Third Eye
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Diamond Trust Bank Kenya (DTB) has announced a reduction in its base lending rate for loans issued in Kenyan shillings, lowering it from 14.41% to 14.21% annually, effective July 1, 2025.
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The adjustment follows the Central Bank of Kenya’s (CBK) recent monetary policy move in June, which saw the benchmark Central Bank Rate (CBR) reduced from 10% to 9.75%.
In a public notice, DTB stated: “We wish to inform our valued customers and the general public that the DTB Base Rate has been revised downward effective July 1, 2025.”
The CBK’s rate cut marked the sixth consecutive reduction within a year, reflecting its continued effort to boost lending and economic growth amid sluggish credit uptake by the private sector.
The Monetary Policy Committee (MPC), in its June 10, 2025 meeting, attributed the decision to improving inflation trends and moderate economic growth, signaling room for continued policy easing.
CBK Governor Kamau Thugge emphasized that the lower rates are intended to make credit more accessible—particularly for households and small and medium-sized enterprises (SMEs).
“The Committee observed that inflation expectations remain stable, creating space for further easing to support economic activity,” CBK noted in its post-meeting statement.
This latest cut follows a 75-basis point reduction in April and continues a trend of pro-growth measures by the CBK since August 2024, all amid a relatively stable inflation environment.
