Accion Microfinance Bank (MfB) and CrediCorp have partnered to launch a consumer credit scheme nationwide. The scheme, which commences this month, will serve the interest of middle-income earners.
The partnership seeks to provide accessible and affordable credit to over 15,000 middle-income earners, contributing to improved financial inclusion in Nigeria. With a focus on affordability, the partnership will offer competitive interest rates and a 2-year tenure, with quarterly interest payments.
Managing Director/CEO of Accion Microfinance Bank, Taiwo Joda, expressed enthusiasm for the partnership, emphasising the bank’s commitment to meeting the evolving financial needs of consumers.
During the collaboration discussion, he stated, “As one of the leading banks in the nation, we are keen about reaching out to consumers at this time, understanding their evolving needs, and providing innovative solutions to address them. We are particularly excited about the potential to finance basic appliances, school fees, and support the transition from kerosene to gas stoves, making a tangible difference in the lives of our customers.”
“We believe this partnership will have a significant impact on the lives of middle-income earners and small business owners,” said Sadiq, representative of CrediCorp. “We look forward to working together to make a difference.”
Key outcomes from the collaboration are to reduce interest rates, whereby from September 2024, middle-income earners will have access to loans at reduced interest rates for a specific period.
There is also the gain of flexible repayment plans as borrowers will benefit from personalised repayment schedules tailored to their distinct financial requirements.
Also, with simplified application process and streamlined procedures will ensure swift access to funds, making it easier for middle-income earners to manage their financial needs.
The launch of nationwide consumer credit scheme marks a significant milestone for both Accion Microfinance Bank and CrediCorp. The partnership is expected to have a positive impact and contribute to a financially inclusive Nigeria, offering citizens the opportunity to thrive.
Accion Microfinance Bank has been in operation for over 16 years and is a pioneer in Nigeria’s microfinance sector, providing innovative financial solutions. The bank’s long history of supporting entrepreneurs and small businesses has greatly contributed to economic growth and development.
The bank has solid shareholder investments from three major banks – Ecobank, Zenith Bank and Citi Bank – as well as International Finance Corporation, a World Bank member, and Accion Investments, all of which contribute to its strong financial base and allow it to serve an ever-increasing number of customers.
