Kenya's Co-operative Bank expands presence in South Sudan
The Co-operative Bank of Kenya is establishing a stronger presence in the South Sudan market by launching a bank in collaboration with the new country's government.The Co-operative Bank of Kenya is establishing a stronger presence in the South Sudan market by launching a bank in collaboration with the new country's government.
Since South Sudan only became an independent nation last year, its financial services sector is extremely under-developed when compared with other places in Africa.
As a result, banks from different countries have been providing financial services to people in the new nation, although the take-up of bank accounts remains extremely limited at the moment, Reuters reports.
It is hoped that establishing the Co-operative Bank of South Sudan will be particularly beneficial for its agricultural sector and boost access to finance for farmers.
Betty Achan, the country's agriculture minister, commented: "When the government does not have money, the bank will have the resources to support the farmers."
The Kenyan lender will take on a 49 per cent share of the Co-operative Bank of South Sudan, while the government will hold the remainder.