Why Visa Is Betting on Digital Lending to Reach More Borrowers Across Africa
Financial institutions in selected African and Middle Eastern markets will gain access to new technology, advisory and marketing capabilities aimed at helping them develop and scale digital lending programs under a new collaboration between Visa and _able.
The companies announced the collaboration at the Visa Payments Forum in Paris, bringing together _able’s lending technology with Visa’s Value-Added Services, including Visa Consulting & Analytics (VCA) and Visa Marketing Services.
The partnership is initially focused on the Central and Eastern Europe, Middle East and Africa (CEMEA) region, with the companies leaving room to expand into additional markets over time.
How the Visa and _able digital lending partnership will work
The collaboration is designed to support financial institutions that want to expand lending through digital channels but face challenges in areas such as program design, portfolio management, customer acquisition and growth.
Under the arrangement, Visa and _able will work with financial institutions to identify opportunities to develop and scale digital lending programs tailored to the needs of individual markets.
The collaboration combines _able’s lending platform with Visa’s consulting and marketing capabilities. This gives participating financial institutions access to technology alongside strategic advisory and customer-growth support.
Walter Lironi, SVP and Head of Value-Added Services CEMEA at Visa, said financial institutions are seeking practical approaches to developing digital financial services.
“Financial institutions are looking for practical ways to develop and grow digital financial services. Through this collaboration, we are bringing together capabilities that can help clients assess, develop and grow digital lending programs that are relevant to their business objectives and customer needs.”
Nadeem Juma, Co-Founder and CEO of _able, said the collaboration could help financial institutions expand access to credit through digital channels.
“Access to responsible credit remains one of the largest opportunities across emerging markets. By collaborating with Visa, we can help more financial institutions develop and grow digital lending programs through digital channels.”
_able provides credit infrastructure connecting capital providers with distribution platforms across emerging markets. Its platform combines infrastructure, intelligence and portfolio management and is designed to support financial institutions deploying credit, savings, cards and group finance.
The company works with banks, mobile money operators, fintechs, marketplaces and other financial institutions.
_able is headquartered in Dubai and has an operational hub in Nairobi, a market and innovation hub in Dar es Salaam, and a technology and intelligence hub in Pune.
