MICROCAPITAL BRIEF: Microfund for Women (MFW) Expands Digital Capabilities via MoneyPhone Technology

Microfund for Women (MFW), a nonprofit microfinance institution in Jordan, recently partnered with MoneyPhone, a Netherlands-based financial technology (fintech) company, to enhance its digital offerings in response to the COVID-19 pandemic. Bdour Al-Hyari, the director of strategic planning and business development at MFW, cited the “opportunity for us to introduce new digital services, such as online trainings and telephone health consultations.” Ms Al-Hyari added, “Having a strong system such as MoneyPhone allows us to have more people coming in through online onboarding…. This will enable us to cut our operational costs and to reduce the interest rate and the cost of lending as well…. For the beneficiaries, it’s more cost-effective and easier.”

MoneyPhone aims to increase financial inclusion by helping financial services providers (FSPs) digitize their services through: 1) a platform that allows FSPs’ customers to apply for loans online; 2) a loan management portal for loan officers; 3) a dashboard to help FSPs’ managers evaluate portfolio performance; and 4) consulting regarding online advertising. The firm has not disclosed any of its financial data.

MFW was founded in 1996 and serves 140,000 active borrowers. The FSP offers microinsurance as well as loans for home improvement, maternity expenses, retirees’ expenses and women who operate home-based businesses. The business loans range in size from from JOD 400 (USD 560) to JOD 1,000 (USD 1,410), with terms ranging from 12 months to 22 months. The microlender also provides non-financial services such as university scholarships and training on business development, women’s health and women’s rights. Recent financial data on MFW are not available.

By Bradley Shulman, Research Associate

Sources and Additional Resources

MoneyPhone press release
https://www.money-phone.com/post/microfund-for-women-embraces-digital-transformation-with-moneyphone

MoneyPhone homepage
https://www.money-phone.com/

About Microfund for Women
https://www.microfund.org.jo/

Previous MicroCapital article on MFW
https://www.microcapital.org/microcapital-brief-eib-lends-3m-to-microfund-for-women-mfw-for-entrepreneurs-in-jordan/

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