Home DIASPORA NEWS Kenyans in Diaspora to Set Up their Own Bank in Kenya

Kenyans in Diaspora to Set Up their Own Bank in Kenya

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Kenyans in Diaspora to Set Up their Own Bank in Kenya

Kenyans in the diaspora have disclosed plans to set up their own microfinance bank in the country.

Kenya Diaspora Alliance (KDA) global Chairperson Shem Ochuodho says the move aims at helping Kenyans abroad drive their investment in Kenya.

Ochuodho says they are currently working on a collective investment scheme to raise an initial $10 million to set up the banking institution.

“We intend to collect at least $10 million dollars (Sh1 billion) through the scheme before embarking on taking the microbank route,” Ochuodho says as quoted by the Star.

Ochuodho explains that it would be easier for Kenyans in the diaspora to invest and rally funds together as opposed to sending money in the country individually.

KDA says only 25 percent of diaspora remittances are put into investment while the remaining goes into personal use. Ochuodho says the bank will ensure that a high percentage of diaspora inflows are channeled into investment.

Diaspora remittances have overtaken tea, coffee and tourism to become Kenya’s highest foreign income earner.

Data from Central Bank of Kenya (CBK) shows that Kenyans living and working abroad sent home Sh197.12 billion ($1.95 billion) in 2017, a 13 percent increase from the Sh174.30 billion remitted the previous year.

 

9 COMMENTS

  1. A total of 44 tribes in…
    A total of 44 tribes in Kenya follow:

    Ameru 5%
    Bajuni
    Bukusu
    Embu 1.5%
    Isukha
    Kalenjin 8%
    Elgeyo
    Kipsigis
    Marakwet
    Nandi
    Pokot 1%
    Sabaot 0.5%
    Terik
    Tugen 0.5%
    Kamba 8%
    Kĩkũyũ 22%
    Kisii 5%
    Kore
    Kuria
    Luhya 12%
    Luo 11%
    Maragoli
    Marama
    Maasai 1.5%
    Sengwer.1%
    Miji Kenda
    Chonyi
    Digo 0.7%
    Duruma 0.8%
    Giryama 2%
    Jibana
    Kambe
    Kauma
    Rabai
    Ribe
    Ogiek
    Orma
    Oromo
    Pokomo
    Rendille
    Samburu 0.5%
    Somali 1%
    Suba
    Swahili 9.5%
    Tachoni
    Taita 0.7%
    Taveta
    Turkana 1%
    Yaaku
    Asian
    Makonde

  2. Sometime back I read a story…
    Sometime back I read a story about a camel named Judas, who main purpose is to lead other camels to the slaughterhouse. Camel Judas leads the other camels and emerges on the other end well and healthy. But surely and without fail, the other camels never see the other side-they become meat. Diversification is to reduce risk. Kenya is becoming like a lagoon or a swamp where “financial” alligators hide. The way things are now, It will be almost impossible to retrieve any lost funds in Kenya particularly for a diaspora. Without imputing wrong motives in others, I would rather have my capital where I can retrieve it or where the risk is evenly distributed among the general population.
    When I see familiar faces and I hear about pooling money be it from my relative or old friends I wish to take the next exit. https://www.forbes.com/sites/johnwasik/2012/09/26/familiar-faces-can-be-flashy-affinity-fraudsters/#6561841415c4.

    • You got that sooo right! Put…
      You got that sooo right! Put your hard earned money in a “Kenyan” thing like this if you are only ready to lose it. The lack of integrity at all levels (including easy to bribe lawyers) means you gona have a very hard time getting justice if and when you find yourself unfairly treated or when you lose money which is more likely to happen than not. Kenya’s a good country but our collective immorality has messed it up. Diaspora Bank certainly not for me

  3. Tricky sana. Kila mkenya na…
    Tricky sana. Kila mkenya na mipango yake. This year alone, I’ve been invited to over twenty farewell parties accross the US. Kenyans like most Africans feel that they would never be accepted in this US or diaspora society hence setting up a plan to live frugally, save money back home and move back after a number of years (I mean if the American Indians and African Americans are still facing the same struggles and discrimination they faced over half a century ago, these Kenyans specifically ask themselves na sisi tumekuja juzi je?) When having a conversation with a US citizen especially in Ruby red states and the first thing that comes out of their mouths is why did you come here or why don’t you go back? I mean that’s a reasonable enough question or statement is uttered in good faith but 90% of the time, there’s always a discriminatory or racial undertone to it. A bank by diasporans, for diaspora is a good idea but a lot of sincere thoughts and considerations should be factored. Remember, everyone follows their interests. Collective interests?- now that’s a tall order.

  4. @mgeni well written n thot…
    @mgeni well written n thot.Just buy 100/100 plot in any growing town especially kiambu,kirinyaga,meru,ruiru,thika,mombasa rd.Build 30 units collect 12k fir 1bedroom n 2bedroom 18k n by the end of the months u will collect btw 360-500k n ur free for retirement so why wait until ur 70 years to retire when u can squeeze yrself n do such a project n retire even b4 50 years n travel the world.Pple work their Ass of for many years til 70 waiting for 1500$ a month pension where u can do such a project which will give u 3x within short time.Fikirieni sana!N u if do farming on the side u easily add another 200k on top of the rent collected??????

  5. Mkenya Halisi wewe ndio…
    Mkenya Halisi wewe ndio utawork hadi miaka 70 majuu if you’re not already in Kenya. ????? The people I have interacted with including me already have ongoing profitable businesses and projects back home. Ain’t no Kenyan staying in this country till 70! God Forbid. Plan haipitangi miaka 20 abroad. Get that money and get it fast. Make it count. Live frugally. Ukianza ujinga ya kujifanya unacompete na Wamakekani Utashangaa! Most of these people live on “Old money”. A Kenyan moving to the US or wherever in the diaspora in their late 20s or 30s can never reach hiyo level ya hawa locals so why compete with wazungu. Ati your neighbor has a Range Rover/ Mercedes/ BMW na wewe pia unaenda kuchukua kwa deni? POLE SANA! So back to this bank idea, unless the ones currently open and available, have some shortcomings, that will convince “Diasporans” to abandon them altogether, I really see no need of flooding the market with banks. Siku hizi ziko ngapi kweli, zimejaa hadi zingine zimefungwa. Siku hizi sana sana za West Africa. I would rather see the time and resources spent coming up with “a not so new idea” used elsewhere.

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