NAIROBI, Kenya, April 18 – The Boda-Boda Safety Association of Kenya has petitioned Parliament to be included in the ongoing probe into the regulation of the Buy-Now-Pay-Later (BNPL) credit sector.
The association’s chairman, Kevin Mubadi, expressed concern that a rival association was consulted by the committee instead.
In a letter to the Finance and National Planning Departmental Committee, Mubadi said that the group earlier engaged by the committee was not representing the boda boda members.
“We are deeply concerned that the parliamentary probe has been initiated without consultation with the legally registered association that handles Boda-Boda issues in the country, which I lead,” Mubadi said.
“It is disheartening to learn from media reports that the finance committee has met with individuals claiming to be the National Boda-Boda leadership, causing widespread discontent among the Boda-Boda leadership across 47 counties due to clear misrepresentation.”
He highlighted the issue of predatory lending practices targeting boda boda operators as one of the aspects the group wants to address.
Kigumo Member of Parliament Joseph Munyoro had in February questioned what he called the exploitative nature of the BNPL system for boda boda riders in the country.
He alleged that the riders stand to lose big following their motorcycles being impounded by the lending agencies.
“The buy-now-pay-later model has become a nightmare to hundreds of jobless youths which lures the borrowers with deceitful promises of lower down payment, easy instalments yet hidden fees and exorbitant interest rates and aggressive debt collection tactics soon reveal the actual prices,” he said.
