Nairobi, March 15 -- Parliament has directed the Central Bank of Kenya (CBK) to tighten the laws governing the buy-now-pay-later (BNPL) firms that expose borrowers to higher interest rates and harsh repayment terms.

The National Assembly's Finance and National Planning Committee has given CBK Governor Kamau Thugge two weeks to table amendments for the regulator to exercise control over the interest rates the BNPL firms charge.

The committee chaired by Molo MP Kuria Kimani told Dr Thugge that the existing regulations governing the sector are those of the digital credit providers and do not actively cover the BNPL firms.

The committee met Dr Thugge following the recent outcry on exploitation by firms that finance the acquisition of motor...