July 14 2014 |
Financial Services
Insights on the Microfinance Industry in Africa
The low purchasing power of the continent, as well as the underdeveloped formal banking penetration set ground for the micro finance solution to thrive. The multi-billion dollars microfinance industry in Africa has currently a gross loan portfolio of $8.5 billion and reaches a consumer base of 8 million people. According to the World Bank financial inclusion data, the Sub-Saharan African region is among the least unbanked geographical areas in the world; only 24% of the population above 15 years old of age benefit from an account at a formal financial institution. (more…)