The East African - - BUSINESS -

Kenya’s Dubai Bank, Im­pe­rial Bank and Chase Bank col­lapsed with a com­bined Ksh100 bil­lion ($1 bil­lion) in cus­tomer de­posits. Al­though cus­tomers held mil­lions of dol­lars in the failed Chase and Im­pe­rial Banks, they were only al­lowed to ac­cess up to Ksh1 mil­lion ($10,000) and Ksh1.5 mil­lion ($15,000), re­spec­tively, un­der spe­cial ar­range­ments with se­lected banks, since the legally al­lowed com­pen­sa­tion to de­pos­i­tors is up to Ksh100,000 ($1,000) only. All East African coun­tries have in place a com­pen­sa­tion mech­a­nism but it is the small savers who ben­e­fit the most.

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