by Renata Samadova -

MICROFINANCE EVENT: Africa Fintech Summit; November 2-4, 2022; Cape Town, South Africa

The eighth edition of this event offers attendees 21 sessions presented by stakeholders representing fintech [financial technology] firms and investors overseeing total capital of USD 4.5 billion. The detailed event program is yet to be announced, but it is to include

by Saulius Ramanauskas -

MICROFINANCE PAPER WRAP-UP: “Banking in Layers: Five Cases to Illustrate How the Market Structure for Financial Services is Evolving;” by Aiaze Mitha, Faith Biegon, Peter Zetterli; Published by CGAP

This paper cites several financial service providers (FSPs) in emerging markets in exploring how recent advancements in digital technology have enabled new business models, transforming the market for financial services. The authors argue that these FSPs have deconstructed the financial services market into separate modules, allowing these modules to be reassembled in innovative ways. These modules include:

by the MicroCapital Team -

MICROCAPITAL BRIEF: Prophius, Mastercard Enable SMEs in Africa to Accept “Tap-on-phone” Payments

Prophius, a Nigeria-based financial technology (fintech) firm, recently entered a partnership with US-based technology provider Mastercard, to equip its PayContactless service to allow its users to accept payments on their Android mobile phones from customers’ payment cards, e-wallets and

by Renata Samadova -

MICROFINANCE EVENT: MEDA Convention: Celebrating Entrepreneurship; November 2-6, 2022; Lancaster, Pennsylvania, USA

With the aim of advancing the success of entrepreneurs, this event offers plenary sessions such as: (1) Revolutionizing Investment in Sub-Saharan Africa: Bridging the Finance Gap for Women Entrepreneurs; and (2) Food Security: Addressing the Risks in Our Global Food Systems and What It Means for Entrepreneurs. On November 5, the MEDAx Pitch Competition offers prizes

by the MicroCapital Team -

MICROCAPITAL BRIEF: Banque Centrale Populaire (BCP), Sowit Deliver Agritech to Farmers in Morocco

Morocco’s Banque Centrale Populaire (BCP) recently signed an agreement with Sowit, a provider of agricultural technology (agritech) services, to support farmers in Morocco in increasing their profitability with better data and access to finance. In particular, Sowit will provide farmers in the Béni Mellal-Khénifra region with

by the MicroCapital Team -

MICROCAPITAL BRIEF: Zambia Seeking to Leverage Government Infrastructure for Private FSPs to Increase Rural Financial Inclusion

The Zambian government recently announced a plan to give financial services providers access to government buildings in rural areas to expand their service footprints. The authorities are looking to make financial access points available in every district of Zambia, where 18

by the MicroCapital Team -

MICROCAPITAL BRIEF: As Lenders Meet Central Bank of Sudan Requirement to Allocate 12% of Portfolios to Microfinance, Agriculture Leads Market

Since 2007, the Central Bank of Sudan, microfinance institutions and other stakeholders have worked to institutionalize microfinance practices that comply with Islamic law and are resilient to challenges such as changing political situations, regional stagflation and COVID-19. The regulator required in 2010 that commercial banks allocate at least 12 percent of their lending to microcredit, which is defined as loans of up to USD 2,600, but they only recently met the requirement.

From the end of 2020 to the end of 2021, the number of microfinance clients in the country grew by 100,000 to

by Nithin Naren -

MICROCAPITAL BRIEF: Via InsuResilience Investment Fund II, KfW Seeks to Grow Climate Microinsurance in Africa, Asia, Latin America

German development bank Kreditanstalt für Wiederaufbau (KfW) recently funded the InsuResilience Investment Fund Private Equity II (IIF PE II) to invest in firms helping people in Africa, Asia and Latin America to manage climate risks. In particular, the fund targets

by Nithin Naren -

MICROCAPITAL BRIEF: In 1st Disbursement, Verdant Capital Hybrid Fund Loans $7m to Watu Credit Uganda to Expand Vehicle Financing

Verdant Capital, a Mauritius-based corporate finance firm, recently issued subordinated debt in the amount of USD 7 million to Watu Credit Uganda, an affiliate of Kenya’s Watu Credit, which funds vehicles and mobile phones in six African countries. While Watu also funds smartphones, tuk tuks (three-wheelers) and cars,

by the MicroCapital Team -

SPECIAL REPORT: Joy Ogutu of Agents for Impact on Impact Investing in Africa

How best to invest in Africa? What makes this region attractive to investors? This month, we introduce you to Joy Ogutu (pictured), an Africa-based Investment Officer at Agents for Impact (AFI), an impact investment company based in Ger­many. As an expert in sustainable invest­ments and impact in Africa, Joy offers us keen insight into these and other questions on sustainable growth and the current conditions in Africa.

Joy Joy Ogutuhas over 10 years of experience in the financial sector in Sub-Saharan Africa. Before joining AFI, she worked at the African Guarantee Fund, where she held the positions of Business Development Officer and Credit Officer. Her roles involved managing the guarantee cycle of financial institutions providing loans to small and medium-sized enterprises. Prior to that, she worked at Equity Bank, Ecobank and Commercial Bank of Africa (now NCBA). Her areas of expertise include deal structuring, credit risk analysis, portfolio manage­ment and relationship management. Joy is passionate about promoting sustainable development by facilitating access to finance and aiding organizations in their investment strategies. She believes that financial returns can be obtained while making a positive impact on the environment and the communities in which AFI operates.

MicroCapital: In your work in financial services, what have been the highlights? What motivates you?

Joy Ogutu: I am

by Nithin Naren -

MICROCAPITAL BRIEF: Fintech Zeepay Nets $10m in Debt Financing, Expanding Digital Wallet Services in Africa, Latin America

Verdant Capital, an African corporate finance firm, recently announced it has raised USD 10 million in “medium-term” debt funding for Zeepay, a financial technology (fintech) company serving 20 countries in Africa as well as – via partners – markets in the Americas and Europe. Zeepay, which has offices in Ghana and the UK, plans to use the funding to expand:

by Saulius Ramanauskas -

MICROCAPITAL BRIEF: Bank of Ghana, Emtech Solutions Launch Regulatory Sandbox to Encourage Innovation in Finance, Financial Inclusion

The Bank of Ghana (BoG), the country’s central bank, recently launched a regulatory sandbox – a mechanism for testing business models not covered by existing regulations, in partnership with the US-based financial technology (fintech) firm Emtech Solutions. Following a successful pilot phase, BoG adopted Emtech’s digital regulatory review and reporting platform, through which financial service providers can

by Nithin Naren -

MICROCAPITAL BRIEF: Tanzania Mortgage Refinance Company (TMRC), Habitat for Humanity Partner to Bolster Housing Microfinance 

The Tanzania Mortgage Refinance Company (TMRC) recently signed a memorandum of understanding with US-based NGO Habitat for Humanity International to “support lower-income Tanzanians and those working in the informal sector to more easily purchase, build or upgrade their homes.” With technical assistance from Habitat for Humanity, TMRC will perform a market study and design housing microfinance products that

by Benjamin Greissman -

MICROCAPITAL BRIEF: PAIDEK of DRC, MicroLoan Foundation Zambia Borrow $1m from Grameen Crédit Agricole for Microfinance in Africa

The Luxembourg-based Grameen Crédit Agricole (GCA) Foundation recently announced it has issued a loan of approximately USD 550,000 to Programme d’Appui aux Initiatives de Développement Economique du Kivu (PAIDEK) of the Democratic Republic of Congo (DRC) and

by Benjamin Greissman -

MICROCAPITAL BRIEF: ACEP Niger, ACFIME Borrow in Local Currency from Grameen Crédit Agricole Foundation for Microfinance in Sub-Saharan Africa

The Luxembourg-based Grameen Crédit Agricole (GCA) Foundation recently announced it has issued a local-currency loan equivalent to EUR 762,000 (USD 756,000) in favor of Agence de Crédit pour l’Entreprise Privée (ACEP) Niger. As of 2022,