Providing Small Businesses with Access to Loans
A major challenge for rural populations is gaining access to credit. It is estimated that 45 percent of South Africas population of 50 million are unbanked or underbanked. The gap is particularly apparent in Sub-Saharan Africa where current credit availability needs to increase by over 400 percent to fill the gap.
To address this challenge, WIZZIT, a mobile banking business, has made a commitment to the Business Call to Action to provide underserved populations with the opportunity to access credit. WIZZIT has developed a new loan offering that will allow thousands of micro and small businesses and individual customers to access the capital they need to grow through local mobile banking representatives called WIZZkids.
In addition to providing basic banking and financial services, WIZZIT will provide small business support. The WIZZIT College of Entrepreneurship will provide clients with access to the latest in business and management training. In the future, WIZZIT also plans to expand its offering beyond South Africa to other Sub-Saharan Africa countries.
To date WIZZIT in South Africa has signed up in excess of 500,000 customers for basic banking services and distributed 2,000 personal loans and 200 small business loans.