– what we are doing here – is a vital component. we must develop clear guidelines on green finance. the temptation would be to be loose with definition and regulation, in order to ensure that nairobi is the entrepot in this new, and essential, field of finance. however, the entrepot model can have its drawbacks. we must remember that sometimes these may bring the detritus of trade, much as they could bring in high quality commerce. we cannot accept, or afford, to give cover to those who only wish to burnish their greenwashing credentials. thus, we must look at the highest quality of green bond issuance. the guidelines that we are launching today should be guided by the green bond principles, which outline clearly how projects are selected, and how proceeds are managed and used ; as well as which information is disclosed to investors and how. we must also position nairobi to be a global centre for the green assessment of bonds. issues such as verification, consultant review and ratings can be refined here, and we should develop and attract global experts in these fields. it is my hope that when we look back a decade or two hence, we will recall this morning fondly, saying to each other that'we were there ', when we set nairobi on the path to being a capital of green bonds and green finance. and, incidentally, finding me will be fairly easy. i will be the retired old man reading a book under a tree in uhuru park! thank you for your attention.

njuguna ndung ’ u : increasing the level of financial inclusion in kenya remarks by prof njuguna ndung ’ u, governor of the central bank of kenya, at the african rural and agricultural credit association ( afraca ) international exposure visit to kenya, kenya school of monetary studies, nairobi, 5 may 2014. * * * mr. saleh usman gashua, the secretary general, afraca ; mr. isaac awuondo, group ceo, commercial bank of africa ; distinguished participants ; ladies and gentlemen : it is my honour to extend a warm welcome to all of you to nairobi and specifically to the kenya school of monetary studies ( ksms ). i note with satisfaction the continued partnership that the african rural and agricultural credit association ( afraca ) and ksms have established. as afraca aspires to promote quality financial services to the rural and agricultural communities in africa, it is complemented by ksms ’ s vision of being a world class research based capacity building institution for the financial sector in africa. ladies and gentlemen : in an effort to confront poverty, that currently afflicts more than 1 billion people in the world, most of whom are in the developing countries, financial inclusion has been seen as one of the channels that can significantly reduce poverty sustainably. this is because access to financial services by the poor provides a safe haven for their savings and widens their economic opportunities through savings - investment cycles. however, in africa and other developing countries in asia and latin america, 90 % of the population do not have access to financial services. closer home, 80 % of the adult population in sub - saharan africa do not have access to financial services ( cgap, 2011 ). in this regard, for the world and africa in particular to catapult the efforts to reduce poverty, concerted action to increase access, uptake and use of financial services should be rolled out. ladies and gentlemen : several reasons have been put forward to account for the low level of financial inclusion in africa. key among these reasons are poverty, irregular income flows, high levels of financial illiteracy, high financial costs, social and cultural beliefs, and underdeveloped financial markets. acknowledging the important role that financial inclusion plays in economic development, none of the cited barriers to financial inclusion is insurmountable. what is required is for financial service providers, the government and its agencies as well as the consumers to jointly contribute in eliminating the barriers