East Africa: Online Banking Still a Challenge to Many Kenyans – Study

Monday, June 8, 2015

Online banking still remains a challenge to many people even as the smart phone penetration in Kenya experiences substantial growth due to increase in internet and mobile connectivity which has seen many local banks introduce online banking services at low rates.

This is according to a new survey unveiled by Jumia Kenya dubbed as ’The growth of the smartphone market in Kenya’.The paper, looked in detail at the evolution of the smartphone market in Kenya as well as consumer behaviours in relation to smartphone purchases. Findings within the report are based on a qualitative research conducted by Jumia.

The survey involved 576 Kenyan smartphone users where 36 per cent of survey responses were Female and 64 per cent male, broadly matching the demographics of internet users in the country as a whole.

Out of the 576 interviewed 26 per cent of them acknowledged that they used online banking while 74 per cent they don’t really use online banking the main reason being, they doubted if online banking was quit secure. This is quite a low number keeping in mind that the country has a mobile and internet penetration of up to 83 per cent and 58 per cent respectively of the 44.35 million population in Africa.

Source: All Africa (link opens in a new window)

financial inclusion, mobile finance, research