DEGRP co-host Central Bank of Kenya to discuss capital flows and financial sector development

June 19, 2019

DEGRP recently co-hosted a high-level roundtable event in Nairobi to discuss the impact of capital flows on financial sector development in Kenya. The aim of the meeting was to share the findings from DEGRP’s synthesis report on capital flows and financial sector development in low- and middle-income countries, and to discuss the practical application of the authors’ recommendations with financial policy officials, banking regulators and academic researchers.

The closed-door event, which was co-hosted with the DFID-funded Financial Sector Deepening Africa initiative on 19 March 2019, brought together approximately 30 people from FSD Africa, the Central Bank of Kenya – including its Governor, Dr Patrick Njoroge (pictured above) – the Kenya Banker’s Association, and regulators and academics. Dr Njoroge provided a keynote address, describing the research as a “landmark publication” which highlights a range of important policy issues that should be discussed and taken up in Kenya.

Judith Tyson, DEGRP finance lead and co-author of the research, and DEGRP grant holder Emily Jones, presented the report’s findings to participants, highlighting the policy options available to Kenyan regulators to maximise and stabilise the contribution of international capital flows to financial sector development. The presentation was followed by a panel discussion, featuring representatives from the Central Bank of Kenya, the Kenya Banker’s Association and the University of Nairobi, and a moderated Q&A.

A short survey was carried out by FSD Africa with attendees following the meeting and revealed that 80% of respondents felt the event was very useful and 20%, extremely useful. One survey respondent said “it was very informative and the findings have lots of policy implications”, whilst another respondent said the event “raised some key issues in financial sector development”. When asked if they had shared the report, 80% stated they did. Most survey respondents shared the publication with their employers or respective university departments. 

You can download DEGRP’s synthesis report which examines evidence on capital flows and financial sector development here.