OPENING REMARKS BY MRS. HANNAH W. MURIITHI, EBS, CHAIRPERSON, KDIC

OPENING REMARKS BY MRS. HANNAH W. MURIITHI, EBS, CHAIRPERSON OF THE BOARD OF DIRECTORS, KENYA DEPOSIT INSURANCE CORPORATION, DURING THE EAST AFRICA MONETARY AFFAIRS COMMITTEE CRISIS MANAGEMENT WORKING GROUP CAPACITY BUILDING IN FINANCIAL CRISIS MANAGEMENT, 9-13 SEPT. 2024, MOMBASA, KENYA. 

Distinguished Delegates of the EAC Partner states

Representatives of the EAC Central Banks and Deposit Insurance Agencies

Fellow members of the KDIC Board

Representatives from our Parent Ministry, National Treasury and Economic Planning

Management and staff of KDIC

All protocols observed

Ladies and Gentlemen,

Good morning.

2. Introductions

I take this opportunity to welcome you all to this East Africa Community Monetary Affairs Committee Crisis Management Working Group (MAC CM-WG) Capacity Building in Financial Crisis Management and Simulation.

Recognizing the importance of this gathering, may I first, appreciate your presence here today. This ultimately provides us with the impetus to discuss and reflect on the agenda outlined in the program over the next few days.

3. Capacity Building in Financial Crisis Management and Simulation

Indeed, this workshop would not have come at a better time, given the prevailing complex financial landscape that continues to characterize many of our jurisdictions.  

As a safety net player within the financial sector, it is therefore important that we constantly seek to strengthen our contingency planning in line with emerging trends, for effective management and resolution of potential crises. 

Distinguished Members, I reckon that, crises in the financial sector have previously been a source of serious disruptions in financial markets, occasioning sharp declines in asset prices, reduced market liquidity, and widespread uncertainty. As we all know, crises can be triggered by a variety of factors, such as economic downturns, systemic failures, or even unexpected geopolitical events. In this regard, allow me to underscore the importance of crisis management, which is vital in mitigating the adverse effects of financial turmoil.  

Appreciating the dynamic environment in the banking and financial services sector, it is observable that institutions are no longer limited to the jurisdiction or country in which they operate but have evolved into financial conglomerates which would cause crises in multiple jurisdictions.

This therefore brings into sharp focus the importance of information sharing and cross border collaborations, that remain an integral part in improving our individual efficiencies in crises management. In light of this, I hereby challenge all of us to strategically engage during this workshop, aimed at finding workable solutions to complexities that may impede progressive achievement of our collective goals as a region.

I consider the simulation exercises outlined in the program as one of the most effective ways to inform our contingency planning. The exercises offer a controlled environment where agencies can test their crisis management strategies and responses even, as they ready themselves for any eventuality.

By embracing these exercises and integrating them into our crisis management practices, we can build more resilient organizations, better equipped to navigate the challenges of a financial crisis.

Let us therefore actively participate, challenge each other, even as we seek to emerge from here better equipped and repositioned for the dynamic financial services environment.   

D. Conclusion

As I conclude, may I reiterate the importance of strong partnerships and collaborations between our respective central banks, deposit insurance agencies and other safety net players. The cooperation amongst these key players should be fostered continuously, for the greater good of our financial stability.

As such, KDIC reaffirms its commitment to future collaborations and capacity building. I assure you that we will be available to offer any technical assistance whenever called upon.

Distinguished Delegates, Ladies and Gentlemen, I am pleased to invite you to take some time and visit Mombasa one of Kenya’s oldest towns, with beautiful sceneries and a rich coastal culture.

With these few remarks, I look forward to great conversations and interactions with all of you during the workshop.

On behalf of the KDIC Board of Directors, I am excited to declare this workshop officially open.

Thank you and God bless you all!