Kenyans don’t need Banks

Over the last 5-7 years, financial inclusion has been driven by non-traditional banking channels – M-Pesa, Agency Banking, M-Shwari for lending, Independent Lending Applications, for instance Branch & Tala.

“…there is still an opportunity for banks to claim back the share of customer sliced off from their domain”

This space was previously a reserve for banks, any Kenyan that wanted to Save, Borrow or even Transact money had to visit a bank branch. Leveraging on technology and big data, many players have been able to offer financial products to Kenyans using either digital channels (Mobile Applications) or riding on existing distribution channels e.g. the FMCG to deliver financial services through agents.


Looking to the future

3 trends that will define the future of banking:


The bank of the future must be mobile, it must be convenient, it must be virtual. Customers should be able to access financial services at a click across several touch points. Be it:

  • Contactless payments.
  • Remote banking services
  • Micro lending for emergency needs
  • Peer to peer transfers

    User/Customer Centered

The customer of the future is techno savvy, trendy and knowledgeable, they need a bank that understands and knows them – the bank should therefore:

  • Have a 360o view of its customer – a single customer ID across all its channels.
  • Develop products that are centered on the Customers’ lifestyle
  • Use AI to develop future products that respond to customer trends and solve existing challenges.


The bank of the future must collaborate with other players, industries and innovators. It must open its ecosystem to partnerships and leverage on alternative technology to scale its business lines.

However, Banks are still viewed as a trust avenue. We are not yet in a place where we can fully entrust our finances with an innovation business. This means that there is still an opportunity for banks to claim back the share of customer sliced off from their domain by these non-traditional financial service providers. The trends need to be noted, the next couple of years will play a huge role in influencing the trajectory of a number of our financial establishments.

Banks, are you on the sideline? Or are you in the game?

What do banks need to do? Find out in the next issue. #technologyforAfrica

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