Kenya has the lowest saving and investing rate at 14 per cent among the top economies in East Africa with Tanzania at 36 per cent and Uganda at 22 per cent
The country has seen three firms launch digital savings and investment platforms since the start of 2022, giving banks a run for their money
The mobile apps seek to pioneer saving and investing flexibility, life goals creation and tracking, market interest rates, financial visibility, and expert support
Competition for digital savings and investment platforms is growing in the Kenyan space as more companies eye the lucrative market.
The country has seen three firms launch digital savings and investment platforms since the start of 2022, giving banks a run for their money.
Montero Ventures and Nabo Capital on Tuesday launched an app to help Kenyans save more and meet their financial goals.
The App dubbed Chumz will see customers save as little as Sh5 as well as create savings goals as an individual or with a group.
The app will send prompts to the user to invest towards their goal and offer advice on investing based on spending habits, with its 52-week savings challenge among other features.
"You can also invest with family and friends as well as making use of behavioural psychology practices such as social nudges, default bias, and self-commitment to bridge the gap between intention and action," Montero CEO Samuel Njuguna said.
All the cash accumulated from individuals’ savings will be Invested by Nabo Capital. Chumz is registered with Capital Markets Authority(CMA).
"Through Chumz, we will enable Kenyans to achieve any aspiration including education, travel, home-ownership, and so on. Our partnership is grounded on one desire: to democratize investment by giving people access to opportunities with competitive returns," Nabo Capital Managing Director Pius Muchiri said.Kenya has about 200,000 active investment accounts in the capital markets compared to over 34 million active bank accounts and an estimated 300, 000 investment groups.The app will be available for download from Google Play and Apple App Stores.Meanwhile, Standard Chartered Bank Kenya also launched SC Shilingi Funds, a low-ticket money markets fund proposition on Tuesday in partnership with Sanlam Investments East Africa Ltd (Sanlam).The fund has been integrated into the SC Mobile app and will see interested customers invest as low as Sh1,000, and then earn competitive interests.Customers are also allowed to withdraw their money at any time.The product that is 100 per cent digital and available 24/7 on the said […]
