Have you been thinking of investiments in Kenya? Have you been looking for Kenya Investment Guide? There is good news which is going to happen in Kenya. Borrowers in Kenya will get a chance to have their Credit in Kenya noted. The decision to start sharing of credit information among lenders in Kenya is really good news and this will help in guiding one about Kenya investments.This is a long overdue gesture which I think the Central Bank of Kenya together with Kenya Bankers Association have finally come to the rescue of many Kenyans or creditors. The new guidline relating to sharing of credit information in Kenya will go into effect on July 31st 2010.
Investments in Kenya which is done by Banks, SACCO, Micro Finance Mortgage, Finance companies or Development Finance Companies. These lending institutions have realized the need to utilize the sharing of credit informtion to help them make good decisions towards approving or denying loan appliactions in Kenya.
To understand the investments process in Kenya one needs to have a proper investments guide towards Kenya Investiments. The borrowing of funds in Kenya has most of the time been focused or shaped by the following 5Cs:
- Character- this is the integrity of a person many people if not known about their character loose the credibility and end up not getting funds
- Capacity- Having sufficient cash flow to service the obligation
- Capital - Networth of a particular person.
- Collateral- Assets to secure the debt.
- Conditions- the borrower conditions and the overall economy
In Kenya bad debts results in general level of high interest rates being passed to customers by banks that try to recover from losses which were created by loan defaulters. The sharing of credit information in Kenya will change the lending culture and also the way lending is approached will lending practices.
This move will constitute a critical input to the credit granting process. When investing in Kenya many will their mindset renovated about dynamics of borrowing. It is important for both positive as well as negative information regarding lending being known. Before, lending Companies in Kenya were sharing only non performing loans information, it is now time to have the banks know our good loan repayment history too.
The flow of information between these lending companies in Kenyan about our credit report will be comprehensive and more useful in defining our credit worthiness. Kenya investment guide will help you and move towards successful understanding when you decide to invest in Kenya.