Barclays Bank takes the lead to cut its Base Lending Rate

Local banking solutions provider Barclays Bank of Kenya, has swiftly moved to cut its base lending rate by 1.5% effective 1st August 2012, in line with the Thursday decision by the Central Bank of Kenya to cut its lending rate by a similar margin.

Following the decision reached by the Monetary Policy Committee (MPC) of the Central Bank to reduce its lending rate by 150 basis points, Barclays Bank of Kenya has slashed its base lending rate to 21% down from 22.5% in support of the MPC move.

Speaking when he announced the new rate, Barclays Bank of Kenya, Regional Managing Director, Adan Mohamed, confirmed that the bank had positively received the decision by the Monetary Policy Committee leading to the early base rate cut. This will ensure that we pass the benefits to our customers with reduced interest rates on loans.

“As a responsible banking institution, we have this morning taken an early step to cut our base lending rate to reflect a similar reduction by the Central Bank of Kenya Monetary Policy Committee,” Mohamed explained.

And added: “given the prevailing economic conditions, Barclays Bank of Kenya supports the decision reached by the MPC which is in the best interest of our customers and the Kenyan economy.”

Beyond the base lending rate reduction, Barclays Bank of Kenya has also reaffirmed its continued commitment in support measures to strengthen the local economy. Various corporate initiatives are already underway to boost financial literacy amongst key stakeholders such as teachers and SME entrepreneurs’.

Barclays Bank of Kenya has also stepped up its continued efforts in helping its customers to enhance their savings culture through the ongoing Barclays Mega Millionaire reward campaign. The campaign is geared at rewarding loyal customers who continue to raise their deposits with Barclays Bank of Kenya.