Need For Resilience In Changing Market Dynamics
Think Business|April 2018

Need For Resilience In Changing Market Dynamics

Jack Odhiambo
Need For Resilience In Changing Market Dynamics

The Central Bank of Kenya (CBK) is in the process of the 1st comprehensive review for the micro-finance banking sub sector to ensure it is up to date and relevant to the sub sector’s dynamic operating environment. The review will target both existing and new entrants into the micro-finance banking market. The review seems to be a necessity to tackle the various challenges that the sector has been facing due to the rapid growth experienced and the changing market dynamics. The challenges include the need for better governance structure, inadequate capital & liquidity, increased credit risk & non-performing loans and reliance on deposits & excessive borrowings.

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