Inclusive Finance: the FNFI has loaned more than CFA100 bln to 1.7 mln people since its creation

Finance
Monday, 09 May 2022 13:30
Inclusive Finance: the FNFI has loaned more than CFA100 bln to 1.7 mln people since its creation

(Togo First) - In its eight years of activity, the National Fund for Inclusive Finance (FNFI) of Togo has loaned over CFA100 billion to people who cannot get access to traditional financing services. The figure, updated on March 31, 2022, was disclosed a few days ago by Mazamesso Assih, the minister in charge of financial inclusion and the informal sector.

The money was shared between more than 1.7 million people, through 14 products. While the repayment rate remains high, 94.48%, Mazamesso Assih said there is still room for improvement. 

To date, the FNFI has 338 service points all over the country and partners with 22 financial service providers.

255,000 more beneficiaries by 2025

Due to business activities growing rapidly and the need to better monitor provided loans, the government announced some weeks ago that it would revise the FNFI’s attributes and expand fund provision under the mechanism. 

With new measures introduced, the fund is now set to reach 255,000 more beneficiaries by 2025. 

Digitalization and incentives

To achieve this, the government will close the gap between the fund and the people targeted, as well as improve the quality of services provided.

Digitalization and more incentives are some of the tools the ministry of financial inclusion plans to leverage within the next five years, in this framework.  

A facilitation mechanism between banks and decentralized financial services should also emerge, to better meet the growing demand for microfinance services.

Octave Bruce

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