Ghana telco MTN in talks with banks to offer microcredit to SMEs

Monday, December 19, 2016

Mobile telephony giants MTN has said it will from next year partner some financial institutions to provide microcredit to small and medium-scale enterprises.

Speaking at the launch of a partnership with HFC to provide for Mobile Money Services, Eli Hini General Manager, Mobile Financial Services at MTN, said there is lot to happen in future including the prospects of providing microcredit using know your customer (KYC) information as a risk assessment yardstick.

“We have micro lending feature which is one of the new products that will be coming in 2017 — a lot of microcredit that people can access for short-term support,” he said.

“These SMEs would now be able to have such avenues to do short-term borrowing and payback because we will be able to manage their KYC information in a much smarter way and the banks can have access to this data which they can use for validation and commitments to these funds that they give out.”

Mr. Hini said such products will be carried in partnership with financial institutions, who are mandated by law to give out loans in the country.

Source: Ghana Web (link opens in a new window)

financial inclusion