medialogo

13 May 2021 – Recent findings have shown that increased investment into innovative technology has accelerated the development of advanced digital platforms creating alternative ways for service providers to reach new and existing customers. Financial services providers are using technology to transform banking, lending, and insurance across Africa, and this has presented opportunities for financial technology companies to create new channels to service those clients in underserved markets.

Finclusion Group aims to be at the forefront of fintech in Africa by leveraging its credit, risk and technology expertise and knowledge to drive financial inclusion and well-being in Africa. The financial technology group uses advanced proprietary AI algorithms developed in-house, coupled with pioneering technology to grant financial services safely and easily, whilst simultaneously facilitating fraud prevention, maintaining accurate automated credit decisions, and streamlining overall business operations. The group is currently working with leading African brands in FMCG, medical services, and retail amongst others to enable and empower businesses, their clients, and their employees.

The group has recently announced the appointment of Matsi Modise, as Chairwoman to accelerate the implementation of the group’s vision. Not a stranger to the tech start-up and entrepreneurial space, Matsi is on a mission to contribute to Africa’s skills revolution and boost South African entrepreneurs. She is the Founder & CEO of Furaha Afrika Holdings, Vice-Chairperson of SiMODiSA, Chairperson of Kuehne + Nagel, and sits on the board of The Innovation Hub. Matsi brings to the Finclusion Group, formidable experience and a passion for entrepreneurship, innovation, technology, and an inclusive African market. Matsi previously was featured as a leader amongst her generation at the 2016 World Economic Forum Annual Davos meeting as a top 50 global shaper (https://www.youtube.com/watch?v=vyQODY1y0J0).

“Financial and digital inclusion is the cornerstone of Africa’s next generation of growth. I joined Finclusion Group because Africans need to create and tell their story of success. I am passionate about digital platforms that not only are innovative but have seen an opportunity to empower Africans to be more included in the economy, to learn better financial management, and to be able to better themselves, ultimately. With our phenomenal team, I hope to see the Group grow and push the boundaries in creating access to financial services and financial responsibility and decision-making to everyday people.” said the businesswoman.

Banking penetration and financial inclusion in Africa though, remain well behind the rest of the world – with credit card access in South Africa (most mature market) at only 8.9%. Smartphone penetration in Africa is growing at a rapid rate with around 1 in 5 young Africans using their mobile devices to purchase products and services. The African market, which has the youngest and fastest-growing population in the world and is expected to reach 2.5bn by 2050, is ripe for technological disruption offering Finclusion a chance to leapfrog and benefit from a multi-level multiplier effect.

Finclusion currently operates in through its innovative sub-brands with the capability to deploy across multiple Africa countries.

  • Fractal Labs: A B2B platform that using business data and AI algorithms provide customized credit scoring solutions to reduce risk, optimise business operations, and service clients that have previously been financially excluded.
  • Nifty: Provides easily accessible personal credit and insurance products direct to the consumer using smart technology that focuses on accessibility and ease of use.
  • Click2Pay: Enabling small businesses and retailers to provide their customers with a buy-now-pay-later model that will increase purchase power, basket size and drive business growth within the SME industry.
  • SmartAdvance: Through corporate partnerships, SmartAdvance provides employers a strong financial partner to deliver employees with accessible and relevant financial services including financial education, financial wellness products, wage-streaming, and installment loans.

As Group CEO, Timothy Nuy, stated “Innovations in Financial technology have forced financial services institutions to re-evaluate how they do business and pivot their traditional financial services models to adapt to the evolving industry. Fintech will continue to transform the delivery and adoption of financial services with a focus on ease of use and accessibility. Businesses not adapting will fall behind.”

Finclusion is excited to showcase more of the portfolio, the strides the company has made, and the gaps identified in the African market. The company has made partnerships that have allowed for the Group to service over 670 000 clients across Sub-Saharan Africa and to have granted more than $1bn in loans with a consistent 7.1% default rate.

The African vision comes to life through the group’s analysis of what each market needs and the leadership team, where the organization is honoured to have exceptional Pan-African talent that has been working hard to drive the mission of financial inclusivity and education, and wellness.