Bankers in campaign to boost savings, curb mobile cash fraud

Financial literacy is critical in driving economic growth and stability. [File, Standard]

Financial services industry stakeholders have started a public awareness campaign to encourage a saving culture.

Through the initiative dubbed ‘Kaa Chonjo!’ (Be Alert!), the partners will circulate financial literacy messages focused on saving, banking, pension and insurance. It will be coordinated by the Kenya Bankers Association (KBA) in partnership with the Central Bank of Kenya (CBK).

Aside from providing financial knowledge, the initiative is in addition to the industry’s ongoing card, online and mobile safety awareness campaign focusing on consumer-led fraud prevention.

The programme intends to foster behaviour and attitude adjustment toward credit and financial literacy given that an estimated 38 per cent of Kenyans lack basic financial literacy.

Bankers say by engaging the youth, the campaign will create awareness about the credit market, emphasising the importance of responsible loan repayment and understanding the role of credit information sharing and risk-based pricing.

CBK Governor Patrick Njoroge emphasised the critical role of financial literacy in driving economic growth and stability

“Kenya’s financial ecosystem has transformed in the last decade from the traditional brick and mortar to an elaborate anytime anywhere ecosystem,” he said.

“This has made financial literacy an important aspect for literally every citizen. As the banking industry, we are interested in promoting financial literacy because it is about lifting the population and giving them tools to achieve this.”

Dr Njoroge lauded industry stakeholders for their cooperation in advancing financial literacy initiatives and their dedication to providing people with the knowledge and skills needed to make wise financial decisions. KBA Chief Executive Habil Olaka said the campaign seeks to build on savings as a pathway to up access to credit for both personal and enterprise development.