Browsing: Digital Lending

Most Kenyans, 83 per cent, indicated a willingness to increase the amount of money they allocate to savings and investments, but the inability to save due to insufficient funds after fulfilling their obligations that require regular funding and the availability of quick digital loans.

Among their obligations which contribute to Kenyans’ financial strain is supporting their extended family which considerably bites into their savings. 84 per cent of people indicated that they regularly provide some income to their extended family, mostly in case of emergencies, because they feel a sense of obligation to send their extended families money and because their extended family members treat them better when they are sent money.

On their part, the extended family members mostly use the money to cater to recurring expenses like food & transport, school fees and medical expenses at 23 per cent, 19 per cent and 18 per cent respectively. Farm-related …

This comes after the National Treasury exempted the digital lender from a law limiting individual shareholding in microfinance to 25 per cent.

In a gazette notice signed by the Cabinet Secretary National Treasury, Ukur Yatani, the San-Francisco based fintech has been exempted from Section 19 of the Microfinance Act (for 4 years through 2025).

Currently, individuals or single entities are barred from holding more than a 25 per cent stake in a microfinance institution.…

Most Kenyans turn to digital lending platforms first when looking for sources of credit to fund the growth of small businesses, a new report has said.

The State of Digital Lending in Kenya Report 2021 by consumer intelligence firm ReelAnalytics shows that most Kenyans would seek business growth loans from sources such as close family members in the absence of digital lending platforms.

However, the report further finds that borrowing within family circles is less convenient, as loan accessibility is usually unpredictable.

Respondents also state that family funding is also much less compared to sources like digital lenders.

“Majority (over 60percent) of customers are satisfied with the services of digital lenders and that there really are not strong formal or institutional alternatives to digital lenders,” said the report.

Forty per cent of Kenyans interviewed in the report said they would borrow from relatives as their prime alternative to digital lenders …

Juba – South Sudan has launched its first-ever mobile money transfer service in Juba last week. The aim of m-GURUSH (m-for mobile and GURUSH for money in Arabic)  is to make it easier to transfer money, as well as create new job opportunities in South Sudan.

The mobile based financial service platform is a joint partnership between South Sudan’s Trinity Technologies Limited and Zain Telecoms South Sudan.

Licenced by the Bank of South Sudan and the National Communications Authority of South Sudan, m-GURUSH allows users without bank accounts to access banking services through outlets spread across the country.

The virtual banking system allows users to access services through a Zain Network SIM card that is compatible with all of South Sudan’s mobile networks. Once activated, the SIM will allow users to transfer money to family or make payments to vendors. The service is also available on UUSD or as a …