Given the huge unserved and under-served demand for micro finance in Nigeria, Oceanic Bank has introduced a new product targeted at micro enterprises tagged ‘Oceanic Group Hybrid Account.
According to the Head, Development Finance, the new product uses the group lending model of micro-credit as a development intervention in which small scale credit for income generation activities is provided to individuals who do not have material collateral.
These groups and cooperatives such as artisan guilds, farmers, craftsmen, and other skilled and semi skilled groups, trading/market groups are organised so that they can have reliable and reasonably priced access to different.
These groups are able to access loans The Group Hybrid account, being a savings account has the benefits of savings and current account capacity to accept other bank’s cheques and dividend warrants but cannot pass through clearing.
The features includes a minimum operating balance of N10,000 with interest paid. The group also gets a customized non-clearing cheque.
Oyakhamoh added that Oceanic Bank is capitalizing on the social attribute of the group lending model than material collateral.
This model will also ensure that Oceanic Bank achieves the social impact objective of reducing poverty. “We want to ensure that we extend the successes recorded in the last two years working with micro customers to other small scale businesses by helping them move to the next stage of their businesses with the right financial products and advise” he noted.
No comments:
Post a Comment