Published On: Thu, Apr 28th, 2016

Kenya Banks face a ‘New Normal’ with good governance & better accounting

Kenyan Central Bank Governor Patrick Njoroge said lenders in East Africa’s biggest economy face a “new normal” that will require better accounting and improved governance.

Lenders must also review their business models to make them more effective in an industry that has had instances of “lazy banking,” Njoroge told reporters Thursday in the capital, Nairobi.

“There is copy-cat banking,” he said. “I would call it lazy banking. If you have a bag of cash, you can start a bank.”

Three banks have collapsed in Kenya since Njoroge took office in June. On Wednesday, Chase Bank Kenya Ltd., a closely held lender, reopened three weeks after a run by depositors forced it to close.

Bloomberg

Up votes: 0 Down votes: 0
Kenya Banks face a ‘New Normal’ with good governance & better accounting
0 votes, 0.00 avg. rating (0% score)