Visa and ACCOSCA partners to help boost access to financial services in Kenya and Tanzania. The African Confederation of Co-operative Savings and Credit Associations (ACCOSCA) and Visa have joined forces to introduce a project called Financial Inclusion in Kenya and Tanzania (FIKT).
This initiative aims to enhance financial access in both Kenya and Tanzania.
Visa and ACCOSCA Partners
FIKT aims to leverage Visa’s existing network and the strong foundation of the Savings and Credit Cooperative Organization (SACCO) in Africa to enhance financial access in Kenya and Tanzania.
The project will introduce innovative and affordable financial products and services to targeted demographics, while also strengthening the capacity of participating cooperative societies and advocating for a fair policy and regulatory environment for financial inclusion.
Before launching FIKT, ACCOSCA and Visa conducted a survey among SACCO members in January 2024 to assess financial literacy levels and the popularity of group structures like chamas, as well as the adoption of technology-based solutions for saving and investing. This data will guide the project’s interventions and implementation plans.
Gradual Decline in the Percentage of Unbanked Individuals in both Kenya and Tanzania
Reports indicate a gradual decline in the percentage of unbanked individuals in both Kenya and Tanzania. The number of people without access to formal financial services in Tanzania has decreased over the past five years, while the proportion of Kenyans with bank accounts has steadily increased since 2014 and is expected to continue rising.
ACCOSCA’s Commitment to Promoting Economic Growth
After the project’s launch, ACCOSCA’s Executive Director, George Ombado, reaffirmed the organization’s commitment to promoting economic growth, entrepreneurship, and investment in a manner that enables vulnerable communities to participate while safeguarding them from financial vulnerabilities.
What Visa Kenya Country Manager Has To Say About This Development
Eva-Ngigi-Sarwari, Visa Kenya Country Manager, highlighted the significance of financial education and digital payment adoption for financial inclusion.
She stressed that a combination of financial literacy initiatives and the adoption of digital payments has the potential to significantly advance financial inclusion and economic growth for MSMEs in Kenya and Tanzania.
Visa Promoting Financial Inclusion in Kenya
Visa has already been actively involved in promoting financial inclusion in Kenya through various partnerships. For instance, it collaborated with Kenya’s payments platform, Pesaflow, in January 2024 to enhance digital payments in public and government services, aiming to improve efficiency, transparency, and financial inclusion.
Additionally, Visa partnered with local banks and fintech companies in Kenya in August 2023 to introduce contactless payments.
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