Senegal Low-Income Workers Open Bank Accounts

In the West African nation of Senegal, fewer than 10dollars. We were shocked, why did they take out
per cent of people have accounts at traditional banks.this ten dollars. When we went to the bank, they
Such accounts have traditionally been seen as onlytold us it was for insurance," she says.
for the very rich. But a growing network of branchesSeck says the bank also debits just over two dollars
extending into more remote areas means that moreevery three months for maintenance costs.
people than before have access to banks. NaomiBut despite these costs, she says the bank account
Schwarz visited on the outskirts of Dakar with a newhas helped her save more money than before. "In
mother who has a savings account.the house, it is no good, because you can spend the
In a one-room apartment on the outskirts ofmoney. At the boutique it was better, but when you
Senegal's capital, Dakar, Margot Seck is cooking lunchhave problems, you can go straight to the boutique
on her small balcony. She is using her short maternityand take the money. But when it is at the bank,
leave from her job as a cashier to set up thesometimes you are slower to withdraw your
apartment.savings," she says.
Search Engine Marketing SpecialistDespite Seck's story, most Senegalese do not have
Since 1995 SEO/SEM tools, training, and professionalbank accounts.
"full service" Search Engine Marketing help at veryOumar Diene, of the Senegalese non-governmental
affordable rates.organization CRESP, says this may be changing. "We
Since she is not working now, she has been spendinghave the impression that these days, there is an
from her savings. But ever since the 25-year-oldaccent on potential clients who, until now, have not
came to Dakar from herfamily's village and beganbeen taken into account by the big banks," he says.
working, she has been putting aside a small portion ofHe says that banks are directing their marketing
her paycheck for just such an occasion. "When I wascampaigns at university students, many of whom
paid my salary, I would spend what I needed, and Ihave little or no income. He also notes the increasing
would bring the rest to the corner shopkeeper tonumber of bank branches across the country.
hold on to for me," she says.But obstacles are still keeping many Senegalese from
Two years ago, with the help of her boss, Seckopening accounts.
opened an account at one of Senegal's commercialMohammed Wilson, a director at Senegal's CBAO
banks.bank, says one obstacle is a culture that prefers cash
Seck's boss advanced to her and three co-workerstransactions. He says Senegalese are wary of
the 150-dollar minimum deposit the bank required, andentrusting their money to someone else, and they
she helped them acquire thenecessary papers.are unfamiliar with how banks work.
Seck goes to a small bedside cabinet and pulls out aBut even for those who are interested in bank
simple wooden box with a lock.accounts, the minimum deposit can seem
She unlocks the box and takes out the papers,overwhelming, especially for non-salaried workers
explaining that before she moved in with herwhose income varies from week to week. Wilson
husband, she shared a room with many singlesays the minimum deposit is required for the banks
cousins, and the locked box was needed to keep herto cover their operating costs. He says if more
finances private.people had bank accounts, the banks would be able
She says she told only her brothers and sisters aboutto reduce the minimum deposit and also the fees.
the bank account, and just recently, her husband.Since so many businesses rely on cash transactions,
"Ah, when you say that you have an account, peopleWilson says his branches must be prepared for large
will think that you have a lot of money, even thoughcash withdrawals. This would be less of a burden if
it is nothing."more people had accounts, and money could change
Seck says the bank takes money out of her accounthands invisibly, through checks.
for various fees. "The first month, they took out 10