The Central Bank of Kenya (CBK) held its benchmark lending rate at 8.75 per cent on Wednesday, defying mounting global inflation pressures to spare borrowers further increases in loan costs, even as it flagged rising energy prices and geopolitical tensions as key risks to the economy.

The Monetary Policy Committee (MPC), chaired by CBK Governor Kamau Thugge, said the current policy stance “remains appropriate to ensure that inflation expectations remain anchored within the target range, and the exchange rate remains stable.”