Commercial Bank of Africa Ltd. is set to enter the Rwandan market as a microfinance institution, with talks for licensing with the National Bank of Rwanda in final stages, The New Times reported Dec. 30.
Once final licensing approvals and clearances are obtained, the Kenyan lender will begin operations in Rwanda in 2017, joining KCB Group Ltd. and Equity Group Holdings Ltd., the other Kenyan banking groups operating in Rwanda. A microfinance bank needs minimum capital of 1.5 billion Rwandan francs to operate in Rwanda, while a full-fledged bank requires 5 billion francs, according to the paper.
Commercial Bank of Africa is present in Kenya, Uganda and Tanzania, according to the report.
As of Dec. 29, US$1 was equivalent to 822.00 Rwandan francs.