Microfinance Banks Pivotal to Fueling Economic Growth Says Interswitch

 Interswitch, one of Africa’s leading integrated payments and digital commerce companies, has reaffirmed its dedication to promoting financial inclusion in Nigeria. It also emphasized the pivotal role that microfinance banks play in driving economic growth in the country.

This was the focus of discourse at the third edition of the TechConnect 3.0 series hosted at Bridgewaters Hotel, Enugu, in southeastern Nigeria. 

The event which has held in select cities such as Ibadan, Abuja, and most recently Enugu State continues to advance the message of the importance of a digitally inclusive economy, especially for an economy like the Nigerian economy.

Speaking on the importance of microfinance banks, Innocent Itobore, Group Head, Data and Lending Services, Interswitch noted that microfinance institutions, despite prevailing challenges, play a critical role in mitigating poverty levels in the country, providing individuals and small businesses with access to financial products and services and democratising financial services.

He said, “Over the years, we have witnessed a remarkable shift in the way microfinance banks operate, engage with clients, and make a meaningful impact in underserved communities. Microfinance banks, as many of you know, play a pivotal role in alleviating poverty, providing credit facilities, and promoting financial inclusion around the world.”

He revealed that owing to digitalisation, access to lending services has been enhanced, making the process more convenient and accelerated adding that microfinance banks now leverage technology to streamline loan origination, approval, and disbursement processes. 

He further said, “We will continue to design cutting-edge solutions and infrastructures that will allow microfinance banks and other financial institutions to meet the urgent needs of their customers with loans.”

The event also featured panel sessions, where panelists discussed the challenges faced by microfinance institutions including revisiting policy frameworks governing the institutions and the importance of developing concrete consumer protection and innovation policies geared towards improving the industry.

At the event, customers were also awarded for their outstanding support to the company over the years. The Techconnect train is slated to make further stops in other cities including Port Harcourt and Lagos, where critical stakeholders will be engaged in industry-defining conversations.

Interswitch remains keen on enabling not just Nigeria’s digital payment ecosystem through events like Techconnect, but also spreading its robust infrastructures across the African continent to improve access to financial services and create a more prosperous economic landscape.