Jafari Credit, a lending firm owned by Centum Investment Company, has disbursed Sh1.4 billion in salary loans to more than 17,000 Kenyan civil servants, highlighting continued demand for credit among salaried workers.
The lender said its loan portfolio has maintained a non-performing loan ratio of about five percent as it expands its lending operations.
The company received a Digital Credit Provider licence from the Central Bank of Kenya earlier this year, bringing its operations under the regulator’s digital lending framework.
Jafari Credit chief executive Edwin Munyiri said the lender has sought to balance loan growth with controls aimed at limiting deterioration in credit quality.
“Disbursing Sh1.4 billion to more than 17,000 customers is an important milestone for Jafari Credit. Maintaining an NPL rate of five percent while growing our loan book shows that it is possible to scale sustainably without compromising credit quality,” said Munyiri.
The company has also increased its use of artificial intelligence in loan assessment and customer service as it seeks to manage a growing customer base.
Its AI-powered customer service platform, Rafiki AI, has handled more than 1,500 customers since its launch earlier this year, according to the lender.
Munyiri said the use of AI has helped the company improve operational efficiency and process customer interactions without a corresponding increase in operating costs.
“AI adoption has helped drive effectiveness and efficiency, creating a scalable operating model where we can continue growing the business without increasing costs at the same pace or allowing credit quality to deteriorate,” said Munyiri.
The lending sector has seen increased regulatory scrutiny in recent years, with the CBK licensing digital credit providers as part of efforts to improve consumer protection, transparency and responsible lending practices.
Jafari Credit is a subsidiary of Centum Investment Company and focuses on providing salary-based loans to employed Kenyans.
The lender said it plans to continue investing in digital systems and artificial intelligence as it expands its loan products and customer base.