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4.4 Kenya Post Office Savings Bank Country

Kenya

Organization

Kenya Post Office Saving Bank (KPOSB)

Program Name

SMATA (“Smarter” in local language)

Age groups

12-18 years old

Overview

Each Postbank branch was asked to select a school in its vicinity to mentor. The branch was required to build a strong relationship with the school, provide Postbank Savings Education, open accounts and follow-up regularly.

Partners involved

MasterCard Foundation, Save the Children in Kenya, Center for Social Development (CSD) at Washington University in St. Louis, New America Foundation (NAF), CGAP (the Consultative Group to Assist the Poor) & Save the Children Federation, Inc (SC US)

Project objective

Develop and implement a small balance savings product appropriate for local low income youth.

Country regulation for youth financial access

Youth can open their own account if they have their parent or legal guardian There is no specific regulation that covers youth but these are generally covered under the Anti Money Laundering ACT and the Central Bank Prudential guidelines.

Financial education / inclusion Strategy and national coordination

Combined strategies and initiatives are in place to develop financial education, consumer protection and financial inclusion. The Kenyan Financial Education Partnership Taskforce meets monthly to monitor project progress and to develop strategies to take projects forward. The Taskforce is comprised of senior representatives from the Government, the financial services sector (including informal financial services), educationalists and the media.

Project approach / strategy

A specific account for the youth was created and added to the bank’s youth portfolio, SMATA (“smarter” in local language), in response to Kenya’s youth population growth as an approach to renew its aging customer base and to advance its broader strategic objectives to expanding finance access in general and to mobilize savings. This was done after country–wide market research with over 640 youth & 270 community leaders was conducted to determine demand for a savings product for youth.

Project activities

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More information

Branch competitions: branches compete for the number of new accounts opened and the winners receive cash awards. SMATA fun days: fun days are organized in regions whereby the youth savers engage in interactive activities. Global Money Week activities: school children compete in activities like essay writing, drama, drawings, etc. and the winners receive gifts such as t-shirts, note books and cash. Radio advertisements.

http://www.newamerica.org/asset-building/youthsave/

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2017 - SchoolBanking: unleashing the youth financial services market  

The paper summarizes the data collected from five WSBI members (Chile, Germany, Kenya,Malaysia and Thailand) which participate in SchoolBank...

2017 - SchoolBanking: unleashing the youth financial services market  

The paper summarizes the data collected from five WSBI members (Chile, Germany, Kenya,Malaysia and Thailand) which participate in SchoolBank...