Home | KUP | Diaspora University Town to Tap the Kshs 18 Billion Monthly Diaspora Remittances Capital.

Diaspora University Town to Tap the Kshs 18 Billion Monthly Diaspora Remittances Capital.

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Remittances Turned to Jobs and Houses Remittances Turned to Jobs and Houses

Central Bank of Kenya (CBK) reported that Diaspora remittances to Kenya in the month of September were Kshs 18 billion. Diaspora who are founders and developers of Diaspora University Town look to tap this Diaspora remittances capital that becomes Kenya Bank deposits and then Kenya Bank loan advances.

Kenya new bank deposits in all the Kenya banks are currently estimated to be growing at about Kshs 50 billion a month. The Diaspora monthly remittances, now at Kshs 18 billion monthly, contribute to about 35% of the growth in the deposits in Kenya banks.

The grow of deposits by Kshs 50 billion leads to the growth of Bank Loan advances by about 75% of the new deposits, or about Kshs 32 billion of the Kshs 50 billion. This means that the Kshs 18 billion Diaspora remitted in September has already created Kshs 12 billion new loan advances products in the Kenya market. 

The Kenya University Project (KUP) Property Developer System is set up to enable Diaspora tap the Diaspora remittances capital. This achieved as Diaspora develops and produce the Diaspora University Town in the next 5 years. At an average of Kshs 18 billion remittances a month the Diaspora will remit over Kshs 1 trillion in the next 60 months.  

The KUP system is set to enable the Diaspora use this finance to make extra income as Diaspora contribute to job growth, property development and growth of Kenya GDP. The KUP system will enable Diaspora Kenyans become Town House Developers of Diaspora University Town and get access to the Bank Loan advance capital generated from Diaspora remittances. 

Kenya total bank deposits in 45 banks by the end of 2009 were Kshs 1 trillion. The loan advances in 2009 were Kshs 721 billion. This is what the Diaspora remittances will produce in Kenya in next 5 years. 

The Kenya financial sector is currently estimated to have deposits of about Kshs 3 trillion and loan advances of Kshs 2.5 trillion. In the next 5 years the deposits are projected to double and reach Kshs 6 trillion by 2022 and loan advances to reach Kshs 5 trillion.

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