Bankers association pilots mediation centre
06 June 2014, 08:46
Nairobi - The Kenya Bankers Association (KBA) has partnered with the
Strathmore Law School’s Dispute Resolution Centre (SDRC) to host the Banking
Industry Mediation Centre pilot.
The six-month project will include complimentary access
to trained, practicing mediators during the months of June, July and August.
Barclays, Equity Bank, Family Bank, Housing Finance, and
Gulf African Bank volunteered to participate.
“We are very excited about this programme which
reinforces the banking industry’s commitment to maintain client relationships
while seeking to reach amicable agreements whenever disputes arise,” said Habil
Olaka, KBA Chief Executive Officer.
“We sincerely thank the banks that stepped up and offered
their support because they recognise the value of ADR,” said Olaka.
“We also are pleased that the regulators which are
particularly keen to promote consumer protection within the financial services
sector, namely Central Bank of Kenya and Competition Authority of Kenya, as
well as other stakeholders including Consumer Federation of Kenya, are on board
to guide the process. With their involvement and feedback from customers, we
expect to provide policy proposals that will enhance dispute management and
consumer protection within the financial services sector,” he said.
Olaka added that the mediation process would not infringe
on the consumers’ constitutional right to commence legal action in the
appropriate court; however, considering the fact that it typically takes five
years for banking-related cases to be resolved in court, and legal fees can be
as high as KSh 500 000 KSh 1 million both customers and banks would see the
value of the complimentary service that is being provided at the Banking
Industry Mediation Centre. For the latest on national news, politics, sport, entertainment and more follow us on Twitter and like our Facebook page!
– CAJ News