Impressive Performance of Ecobank's Microfinance Initiatives Gain International Recognition

10 October 2011
Content from a Premium Partner
Ecobank (Lome)
press release

Ecobank Group's microfinance affiliates in Ghana and Nigeria have both recently won prestigious awards for their contribution to empowering low-income but economically active entrepreneurs by providing tailored, accessible microfinance services.

In Ghana, Ecobank's subsidiary, EB-ACCION Savings & Loans ('EB-ASL'), a joint venture with Accion Investments and the IFC, has won African Banker's 2011 "Microfinance Project of the Year Award" for creating a platform for financial inclusion for the un-banked, under-banked and low income earners.   This included a mass savings scheme, started in 2010 with the financial backing of the Bill and Melinda Gates Foundation. To augment its 7 branches in Ghana, EB-ASL has adopted a branchless banking model, supported by Ecobank's robust IT platform and utilizing a number of distribution channels including a team of 185 roving agents, Ecobank's network of over 100 ATMs throughout Ghana, a free customer deposit mobilization scheme via POS terminals and SMS banking services. This has enabled the company to service more than 60,000 clients and to break-even within three years.

Ecobank's affiliate in Nigeria, ACCION Microfinance Bank ('AMfB'), a collaboration with Accion Investments, the IFC and other Institutional investors, also has won the 2011 "Best Microfinance Bank of the Year" in the Lagos Enterprise Awards, which recognise leading companies that have contributed significantly to the economic development of Nigeria. AMfB is a Nigerian microfinance provider that operates twelve branches throughout Lagos and has more than 57,000 customers. AMfB is a market leader in Nigeria in the provision of microfinance and related financial services to micro-entrepreneurs and low-income earners.

Ecobank also provides loan finance and banking services to more than 700 other microfinance institutions in Africa on a wholesale basis. The Group is creating Africa's largest regional microfinance platform, offering comprehensive financial services to informal sector players who have been largely underserved in the past. Ecobank now has microfinance subsidiaries and associated companies in five countries (Burkina Faso, Cameroon, Ghana, Nigeria and Sierra Leone), servicing 171,000 microfinance clients.

Patrick Akinwuntan , Group Executive,   Domestic Banking r of Ecobank, commented:

"At Ecobank, we understand that providing financial access to unbanked and under-banked low-income customers is fundamental to unlocking the immense economic potential of Africa. Our microfinance business leverages Ecobank's unrivalled footprint in Africa, as well as our capacity to provide rapid, convenient and cost-effective access to savings and loans. The success of Ecobank's initiatives is generating increasing interest from international investors and development institutions to partner with us in expanding our microfinance platform throughout Africa."

Tagged:
Copyright © 2011 Ecobank. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 400 reports a day from more than 100 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.