Kenya's central bank calls on financial institutions to embrace new banking technologies
The Central Bank of Kenya (CBK) has called on financial institutions to adopt innovative automation to boost formal financial inclusion in the country.The Central Bank of Kenya (CBK) has called on financial institutions to adopt innovative automation to boost formal financial inclusion in the country.
"Automation has enabled banks to provide convenience and efficiently to their customers which has contributed to the increase in the number of bank deposit accounts from 6.9 million in 2007 to more than 17.3 million currently," said CBK Governor Njuguna Ndung'u, quoted by Capital FM.
He added that banks should fast track the migration of automation technology to EMV chip technology in order to reduce
ATM fraud in the country.
Kenyan banks have started to switch to
the card payment security standard EMV (Europay, MasterCard, Visa - completed by a PIN) at the beginning of the year to improve the safety of transactions.
The system used up until now relied on magnetic strip technology that fraudsters could easily exploit.
All Kenyan banking organisations should switch to EMV by 30 September, as requested by the Kenya Bankers Association (KBA).