Moreover, analytical supervisory assessment indicators and early-warning tools can put the new data to work in assessing credit developments.7 Additional information on the banking sector is likely to be more important in the euro area than in the US, because in the euro area bank lending accounts for almost two-thirds of the total financing of non-financial corporations, whereas in the US bank lending is only just above one-quarter of total firm financing.
But the customers must use the financial services and demand more of those services. We did not know what we had missed over the years until M-PESA came to the scene. When consumers are financially informed they are in a position to demand quality financial services at fair prices. This makes it necessary for the providers to innovate products suitable for their customers’ needs.