Patrick Njoroge, Governor, Central Bank of Kenya on Making Payments in the Digital Age


right I can’t resist asking you one
thing Patrick can you tell us the story of how much you learned from the data and
from the data points that are left by transactions that are happening as far
as borrowers are concerned yes oh yes the woman in the market yeah
yes there’s a story fascinating the story here is we have we now have a
platform and we were looking at this information on one of our key lending
platforms and we discovered that a lot of the transactions more than about 40%
of the transactions take place between 3 o’clock and 5 o’clock in the morning and
we began to explore this and also discover that about more than 50% of the
people that were borrowing were women so there was a problem here are women and
insomniacs you know in Kenya and we wanted to investigate this but anyway, upon
further investigation we discovered what was going on basically you have traders
that are operating in the various markets and these are what they are
purchasing in the markets and their streets they are going to sell in the
street corners and in the kiosks those sort of things so they wake up at 3
o’clock in the morning and bore off from this landing platform under a cell phone
on your cell phone they are still in their houses it’s all done on the cell
phone they borrow and they’ll get the money they’ll then call the wholesaler
they have trusted wholesaler and ask for bags of this and the other and pay by
their self through their cell phone they’ll then call the person who moves
this thing they and will then instruct them to go make the I mean deliver at
the kiosk then she’ll go back she will now wake the kids
feed them send them to school and at 6:30 she is at the kiosk with all the
products ready to sell beginning are there haven’t even left my
bed at 6:30 as the governor and this woman has done all these transactions so
and in a sense you can see the benefit of it wasn’t just the transaction you
can see the social benefit of such a simple product

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