In May 2017, data released by the Central Bank of Kenya (CBK) showed that diaspora remittances reached $161.50 million (KES16.78 billion), 10 percent more than in May 2016 ($146.76 million or KES15.25 billion). The figure in May surpasses that of December 2016, which was previously the highest, at $160.94 million (KES16.72 billion). To tap into this growth and ensure easier payment for Kenyans in the diaspora, the National Bank of Kenya (NBK) and WorldRemit have struck a partnership.
The partnership allows Kenyans living abroad make instant transfers home. WorldRemit users can now make instant bank deposits to NBK accounts held in both Kenyan Shillings and US Dollars, as well as send funds for cash pickup in KES from any NBK branch.
The over $1.71 billion (KES177.34 billion) that Kenyans living abroad sent home in 2016 was an 11 percent year-on-year increase on the $1.54 (KES159.82 billion) sent in 2015. This, therefore, makes diaspora remittances Kenya’s largest foreign exchange source – ahead of tea exports (around KES125 billion in 2015) and the horticulture industry (KES90.44 billion in 2015). Kenyans in the diaspora also send the most digital remittances to mobile accounts.
Since the start of operations in Kenya, WorldRemit customers have completed almost 2 million money transfers to the country. They now send more than 80,000 transactions every month from the WorldRemit app and website.
Wilfred Musau, Chief Executive Officer and Managing Director of NBK, said about the new partnership, “We understand that speed and convenience are key to our diaspora customers, and we are providing these options at a low price through our new partnership with WorldRemit.”
Ismail Ahmed, founder and CEO at WorldRemit, added, “We’re proud to work in partnership with the National Bank of Kenya, a trusted and dependable financial institution with a wide network of branches across the country.
“We are delighted that this partnership will enable us to offer an enhanced service to our Kenyan customers. They can now transfer funds to NBK accounts quickly, to be paid out in shillings or dollars. It’s a welcome expansion of our fast, safe and lower cost online service which has already proved so popular with Kenyans.”
