National Bank has partnered with Kenya Diaspora Alliance (KDA) to tap into the diaspora market.
The bank partnered with Kenya Diaspora Alliance to host the fourth edition of the Kenya Diaspora Homecoming Convention (KDHC), an event that National Bank’s Managing Director and Chief Executive Officer Wilfred Musau lauded as a step forward for the bank in harnessing the potential of the diaspora market.
“National Bank has taken up the role to drive the use of diaspora remittances for more structured investment purposes and at the same time to be the driver of financial inclusion both for migrant Kenyans and their dependents locally,” said Mr. Musau.
“While appreciating that the more traditional investments (for example real estate) have continued to work for the migrant Kenyans, National Bank offers a much more diverse range of investment plans that is attractive for the short and medium terms, and that have the potential to yield more returns and/or eliminate most of the recurring expenditure on and for dependents and free up more of the remittances for investment. These include but are not limited to, wealth management and advisory services, insurance services and commercial agriculture,” he added.
International money transfer
In an effort to drive down cost and ease the process of remitting funds into Kenya, the bank has partnered with World Remit – a Leading digital money transfer service to enable Kenyans living abroad to make instant transfers home.
World Remit users can make instant bank deposits from the diaspora to National Bank accounts held in Kenya Shillings and US Dollars, as well as send funds for cash pickup in Kenya Shillings across the bank’s extensive branch network.
“The bank recognizes the unique financial needs of diaspora customers that include banking in multiple currencies, immediacy of service and providing them with adequate investment opportunities and an environment in which to safely do so. The bank offers safe, flexible and convenient tailor made banking facilities back home designed around the unique needs, delivered effortlessly with service above the ordinary,” he said.
Data from the Central Bank of Kenya reveal that diaspora remittances into Kenya have grown from a monthly average of USD 20M in 2004 to 156M in 2017 (high USD 185M in October 2017).
Data from the World Bank also reveal that dependent households spend remittances sent by the diaspora on basic expenditure such as food and clothing, and then the same progresses to education and health. Kenyans in the diaspora habitually invest in real estate, with a good number taking up basic agriculture and trade at the Nairobi Securities Exchange (NSE).
National Bank is a fully fledged commercial bank listed on the Nairobi Securities Exchange and established in 1968 to provide Kenyans access to finance. It has since grown to be one of the largest commercial banks in the country with a network of 80 branch outlets across the country, over 1500 automated teller machines (ATMs) and electronic channels of mobile and internet banking. National Bank participates in corporate banking, business banking, retail banking and Islamic banking with an extensive portfolio of products and financial solutions tailored for the requirements of a broad spectrum of the customer segments it serves.