The Central Bank of Kenya (CBK) has given banks up to Friday this week to submit details of all loans renegotiated under the payment relief to support businesses and individuals during the coronavirus pandemic.
The apex bank has put strict measures to track loans that will be given extension, including monthly reports by banks with details showing why the relief was offered, monitoring measures and set timelines for loans revert to normal.
A CBK circular says lenders will meet all the costs of restructuring and must submit returns on 10th of each succeeding month.
“The initial return for the month ending March 31, 2020, will be due on or before April 10, 2020,” said director of banking supervision Gerald Nyaoma.
The CBK said individuals and small businesses seeking amnesty must prove that inability to pay is directly tied to the effects of coronavirus.
Banks will then be allowed to restructure the loans without affecting the quality of loan books as they will be exempt from prudential guidelines on classifying non-performing loans.