Is Watu Credit licensed by CBK in Kenya? (2026)

Yes. Watu Credit Ltd is licensed by the Central Bank of Kenya as a non-deposit-taking credit provider, licensed 5 June 2025. What that licence covers, what it does not (it does not cap the 8.6 percent per month rate Watu charges), and how to verify status.

by Arnold Ochieng Reviewed by Michael Mwangi 8 min read Updated 26 August 2026Verified 26 Aug 2026

The short answer

Yes. Watu Credit Ltd appears in the Central Bank of Kenya register of non-deposit-taking credit providers, with a licence date of 5 June 2025 [Source 1]. That places Watu among the licensed providers CBK is publicly supervising under the reformed 2024 regime.

What being CBK-licensed actually means

The Business Laws (Amendment) Act No. 20 of 2024, in force 27 December 2024 [Source 2], replaced "digital credit business" with "non-deposit taking credit business" in the CBK Act and expressly brought asset financiers, PAYGo providers, and BNPL operators under CBK supervision. Section 33S of that Act sets penalties for unlicensed operation of up to 3 years imprisonment or KES 5 million.

For a licensed lender like Watu, being on the register carries three practical consequences for borrowers:

Conduct rules apply. The CBK Digital Credit Providers Code of Conduct, extended to non-deposit-taking credit providers under the 2024 amendments, prohibits debt-shaming, calling third parties in the borrower contacts, threatening violence, misrepresenting a debt as owed to a court, and harassing calls outside business hours [Source 3].
Complaint route exists. A borrower whose grievance is not resolved with Watu can escalate to CBK Consumer Protection on 0800 720 000, and ultimately to court.
Ongoing supervision. A licensed lender remains subject to CBK oversight and can lose its licence for material breach.

What being licensed does not mean

The most common misreading: a CBK licence does not cap the interest rate a lender can charge, and it does not guarantee the loan is affordable or fair. The Watu Credit Country Manager told the Kenya National Assembly Finance Committee in May 2024 that Watu charges 8.6 percent per month on a reducing balance [Source 4]. Nominal APR at that rate is 103 percent, effective APR compounds to roughly 169 percent. Those figures are legal within the Kenyan regulatory framework.

For the full arithmetic on what that pricing means for a typical KES 250,000 boda finance package, see our boda boda financing real cost methodology. For the default and repossession mechanics, see what happens if you default on Watu Credit and the seven-day redemption window.

Context: how many are licensed

In a July 2026 press release, CBK reported 252 licensed non-deposit taking credit providers out of more than 800 applications received since March 2022 [Source 5]. Watu is one of them. Being licensed is not automatic; the majority of applicants have not been approved.

How to verify Watu Credit yourself

Open the CBK non-deposit taking credit providers register (verify against CBK's own site).
Search for the exact registered name: Watu Credit Ltd.
Confirm the licence date (5 June 2025).
Cross-check with the paybillke CBK Licence Checker for the same result in one click.

For the step-by-step verification playbook that applies to any lender, see how to check if a lender is licensed in Kenya, in 2 minutes.

Why this matters if you are borrowing from Watu

Licensing is process protection, not price protection. If Watu's field agent contacts your employer to disclose your loan status, that is a Code of Conduct breach and you have grounds for a formal complaint. If Watu's field agent shows up with a repossession truck on day 8 of arrears, that is contractually permitted under Watu's summarised terms and there is no regulator relief available. Read your rights under the CBK Code of Conduct for the full protections.

See also why CBK licensing matters if you are borrowing in Kenya for the honest scoping of what the licence does and does not do.

Sources appendix

Central Bank of Kenya. Register of non-deposit-taking credit providers, April 2026 publication. Watu Credit Ltd, licensed 5 June 2025.
Business Laws (Amendment) Act No. 20 of 2024, Republic of Kenya. In force 27 December 2024. Section 33S penalties for unlicensed non-deposit-taking credit business.
Central Bank of Kenya. Digital Credit Providers Code of Conduct, issued alongside the 2022 regulations, extended to non-deposit credit providers under the 2024 amendments. Prohibitions on debt-shaming, third-party contact, threats, and misrepresentation.
Watu Credit Country Manager, Kenya National Assembly Finance Committee testimony, May 2024. Disclosure of 8.6 percent per month on a reducing balance.
Central Bank of Kenya press release, July 2026, citing 252 licensed non-deposit taking credit providers from more than 800 applications received since March 2022.

FAQ

Is Watu Credit licensed by CBK?

Yes. Watu Credit Ltd is listed in the Central Bank of Kenya register of non-deposit-taking credit providers, licence date 5 June 2025, per the CBK April 2026 publication.

What does being CBK-licensed require of Watu?

Compliance with the CBK Digital Credit Providers Code of Conduct (extended to non-deposit credit providers under the 2024 amendments), which prohibits debt-shaming, calling third parties in the borrower contacts, threatening violence, and misrepresenting a debt as owed to a court.

Does the CBK licence cap the interest rate Watu can charge?

No. The licence covers process and conduct, not price. Watu disclosed 8.6 percent per month on a reducing balance to the Kenya National Assembly Finance Committee in May 2024, which compounds to roughly 169 percent effective APR. That is legal despite being high.

Where do I complain about Watu conduct?

First to Watu directly, in writing, keeping the paper trail. If unresolved, escalate to the CBK Consumer Protection line at 0800 720 000. Court is the final route.