Sunday, July 12, 2020

Kenyans turning to mobile loans in times of COVID-19

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Kanika Bajaj

Article Title

Kenyans turning to mobile loans in times of COVID-19

Publisher

Global Views 360

Publication Date

July 12, 2020

URL

People of Kenya

People of Kenya | Source: Flightlog via Wikimedia

The economic impact of COVID-19 is felt on the personal finance of people across the world who are looking for ways to tide over the situation. In Kenya, people are lapping the short-term credit in the form of digital loans by mobile money operators. The number of people taking digital loans has doubled during the COVId-19 induced lockdown period.

Boston Consulting Group's Consumer Sentiments Survey conducted in April and May 2020 reported that "In May, 29 percent responded that they had taken out a short-term loan, compared to 16 percent in April. Mobile money operators were the most common sources of this credit”

Kenya is a pioneer in using mobile money transfer services as the key tool for providing financial inclusion to its citizens. A simple money transfer service, M-PESA launched in 2007 has transformed the financial service industry in Kenya. Today mobile money operators are providing multiple services like digital loans, marketplace for small businesses and farmers.

Digital loans are easy to process and disbursed but there are concerns of shaming the defaulters and compromising the data security of clients. The Digital Lenders Association of Kenya (DLAK) which is a body representing the digital lenders of Kenya has distanced from two of their members, Okash and Opesa over unethical practices. These mobile apps have shared the details of defaulting customers with the moneylenders and asking them to recover the money.

DLAK also stated that Opesa and Okash are known for attacking a client's data privacy which is against the Kenyan data protection laws and has additionally spoiled the reputation of digital leaders in Kenya.

In April 2020, Central Bank of Kenya barred unregulated digital mobile lenders from forwarding the names of loan defaulters to credit reference bureaus. A huge number of Kenyans have been recorded on Credit Reference Bureaus by digital money lenders for loans as little as $5.

Central Bank of Kenya governor Patrick Njoroge told during a press conference in May 2020 that the central bank in consultation with the mobile money operators and digital lenders is presently working to develop a model where the borrowers are protected from mistreatment of online moneylenders.

The borrowers are looking up to the regulatory authorities and the industry bodies to come up with a mechanism which will protect their interest in times of such a health and economic emergency.

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February 4, 2021 4:44 PM

World's largest graveyard of Dinosaurs found in South Africa

In a village in the eastern cape of South Africa lies one of the most significant dinosaur sites ever found in the world. The site was discovered when a shepherd, Dumangwe Thyobeka found a large bone on his way to his great-grandparents’ graves, in 2015. He then took the bones to a local dinosaur enthusiast, James Rhalene. Commenting on this discovery " Mr. Rhalene said, "Growing up we were told dinosaurs were a myth, I thought they were only tales our grandparents would tell around the fire at story time", and It wasn't until reading some books that I started to believe they may be real. I've been looking into the existence of dinosaurs since 1982. He added, "You can imagine my excitement at being part of this and discovering them in my own backyard. I am so proud. Books will be written about our small village; the world will come to know of us through this discovery.”

These bones are more than 200 million years old, of around the end of the Triassic era and the beginning of the Jurassic one. When the village elder, Sginyane Ralane came to know about the discovery, he reached out to universities in South Africa for looking into it. The news eventually reached Prof. Jonah Choiniere from the University of Witwatersrand in Johannesburg, and in 2018 Jonah and his colleagues started excavating the site. “It has been one of those places where you sometimes find yourself literally tripping over a dinosaur bone. There are very few other sites I've had the chance to work where we have this richness of fossils.” says Prof Paul Barett, a dinosaur expert at The Natural History Museum, UK, after he joined the team.

A reason why this area is abundant in fossils, Natural History Museum explains, is because of the ancient river systems in the area. The area is arid for most of the year now, and the rivers flow only seasonally. However, in the ancient times, there were vast river systems flowing year-round in the region, with wide, shallow rivers which would consequently form a layer of rock 210 million years old which is up to 500 meters thick in some regions. These rivers supported diverse wildlife, including ancestors of crocodiles, possibly those of turtles and mammals and fish, amphibians and reptile-like animals. The existence of such large rivers meant that dead animals nearby would be buried in sediment before they decomposed.  

This discovery is scientifically important for a number of reasons; the era from which these bones are found is a boundary in which a mass extinction occurred. Prof. Jonah is trying to understand how the animals from before that extinction survived and how they flourished after. In the Triassic era, there were multiple dominating animals, like the crocodiles, big mammal-like animals and dinosaurs. In the Jurassic era, however, the dinosaurs are clearly dominating. Why this happened is unclear, and the rocks and fossils from this site might help with that. There were also other animals along with dinosaurs in this site which make it noteworthy. Of the animals found, there were rauisuchians, which relate to modern-day crocodiles, and were dominant on land during the Triassic. The team also found cyclodonts and dicyclodonts, where the cyclodonts are the early ancestors to all mammals, and dicyclodonts are an even earlier branch of the mammalian family tree.

All of these have a significant impact on the community too; the team signed a memorandum of understanding with the local government with huge. After the signing, local officials visited the site at Qhemega. The team has been trying to use the heavy machinery they had brought for moving fossils for improving access in and to the village. They are also developing a curriculum in high schools to include topics about fossil sites and to add geography to the curriculum, to train the younger generation about the mapping used in excavation and in many other scientific fields especially relevant in the mineral-resource rich South Africa.

So far, this site has only provided benefits for everyone involved; new discoveries and confirming data for the scientific community, and economic access, increased opportunities and a matter for pride for the local community.

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