The decision by Kenya Commercial Bank (KCB) to manage the troubled Chase Bank could not have come at a better time.
This is a major coup for KCB and an enormous relief for Chase Bank customers, who were afraid of losing their hard-earned savings.
Although this is good news for depositors, it is bad for business customers in the small and medium-sized enterprises (SMEs).
The KCB bureaucracy will kill the golden egg in Chase Bank. Chase Bank was the third small-or mid-sized bank to close in the past nine months, rattling investors.