KCB bid gives new lease of life to Kenyans’ savings culture

Kenya’s largest bank by assets, Kenya Commercial Bank (KCB) Tuesday launched  new savings account that is expected to boost the country’s savings culture.

Christened KCB Goal Savings Account, it (the account) allows customers to set and lock a target, make deposits towards achieving that target over a specific period of time while earning high interest determined on a daily basis.

Customers can lock their savings between a minimum period of six months and a maximum of five years, with the minimum opening balance capped at Kes1, 000.

The account further allows customers to borrow up to 100per cent of their saving in the account with an option for a life insurance policy.

KCB Director Retail, Mrs. Annastacia Kimtai said this will give potential savers an opportunity to determine their savings goals.

“Goal Savings is for you to plan your dream investment like buy a piece of land, plan for your children school fees or even your annual holiday can now be to any exotic location,” she said, adding that customers will earn an interest rate of up to 8.5per cent on savings, which is above the current market rate of 7.0 per cent.

Kenya’s Gross Savings Rate stood at 7.3per cent in December 2016, compared with 7.4per cent in the previous year, according to the latest data by UK data firm CEIC.