The Central Bank of Kenya (CBK) is likely to slash the country’s lending rates further, opening the door for cheaper loans and mortgages for Kenyans, economists have projected ahead of the next policy meeting. Experts say easing inflation and a calmer global commodities environment have created room for the regulator to lower borrowing costs, continuing a trend that began last year. Photo TreasuryEconomists further argue that a lower policy rate directly affects what Kenyans pay on loans because commercial banks rely on the Central Bank Rate (CBR) as a benchmark when pricing credit. “The Monetary Policy Committee decided to lower the Central Bank Rate to 9.00 per cent from 9.25 per cent,” CBK said at the time, signalling relief for households and businesses grappling with high borrowing costs. Analysts say these factors strengthen the case for another rate cut when the MPC meets again in February, provided inflation remains within the target range and the shilling stays relatively stable.