| dc.description.abstract | This case study investigates the potential tradeoffs between regulations and
stability of Kenya’s financial sector and their implications for inclusive growth.
This is done in the context of six areas: (i) size and growth of the financial sector
relative to LICs and MICs; (ii) implications of a mixture of local banks (some of
which have spread to neighbouring countries), foreign banks and development
finance institutions; (iii) evolution and macroeconomic implications of financial
innovations and inclusion; (iv) cost and access to credit, especially to SMEs; (e)
prudential regulations; and (f) management of capital flows in the context of
large current account deficits, mainly financed by short-term net capital inflows
such that their easy reversibility could potentially generate a currency crisis. | en_US |
