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- JP Morgan finally gets its approval.
JP Morgan finally gets its approval.
Your daily dose of Kenyan business & finance news
Kenyan Wall Street
October 14, 2024
đŠ Worldâs largest bank finally gets approval to operate in Kenya
After applying over SIX YEARS AGO, the Central Bank of Kenya has finally given the worldâs largest bank the go-ahead to operate in Kenya. This approval comes days before its CEO Jamie Dimon is expected to step foot on Kenyan soil presumedly to help solve the âextremely slowâ issuance of its approval. The Representative Office will not be allowed to operate in the banking business according to the Banking Act but will rather work as a liaison office of its parent entity. Why did the CBK drag its feet on this approval?
đ Starlink subs grow nearly 2,000% in just one year
After just a year of operations, Starlink has officially captured 0.5% of Kenyaâs market share for fixed data subscriptions. In a report by the CAK, Starlink (termed as âsatellite internetâ despite being the only one in Kenya) has witnessed a 1,955% increase in users since it was given its license in July 2023. While this increase sounds like a lot, the numbers that should concern traditional players are that between March and July of this year, the number of subscribers for Starlink increased from 4,808 to 8,324 - thatâs a whopping 73.1% increase in a short 4 month period. Why Starlink is winning?
đź M-Pesa market share drops as Airtel raises
The mobile money market in Kenya is changing. A recent report shows that Airtel has gained in market share in both mobile (SIM) and broadband subscriptions while the countryâs darling Safaricom has lost market share in both segments. Airtel gained from 5.1% to 6.6% while SCOM fell from 94.9% to 93.4% - albeit not a crazy significant change, this dynamic shift is likely to raise some eyebrows in Safaricomâs next board meeting. It was also announced that as of June 30, 2024, mobile money subscribers grew to a total of 39.8M users, translating to a penetration rate of 77.3% of the Kenyan population. What is making Airtel gain on Safaricom?
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