Increasing savings, digital banking will bring down interest rates - GTBank chief

Veracruz Bayo is the Guaranty Trust Bank (GTBank) Rwanda managing director. The banker is confident mobilising more long-term savings and embracing cashless banking will reduce the cost of borrowing and ensure sustainable development. High interest rates charged by banks have been a big issue for long, especially among the business community. Though the National Bank of Rwanda (BNR) slashed its key repo rate, banks never follow by cutting interest rates that average 17 per cent presently. The central bank rate is now at 5.5 per cent, down from 6 per cent previously. In an interview with Business Times’ Peterson Tumwebaze, Bayo also said the financial sector particularly banks must embrace digital banking to drive innovation and enable banks to serve customers more efficiently.
Bayo emphasises a point during the interview. / Timothy Kisambira.
Bayo emphasises a point during the interview. / Timothy Kisambira.
Times Reporter