IWD: Lenders vow to revolutionise lending for women

Tosin Kolade
Mar, Sun, 2025

Economy/Business

IWD: Lenders vow to revolutionise lending for women

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By Rukayat Moisemhe

The Money Lenders Association, in commemoration of the 2025 International Women’s Day (IWD), has pledged to revolutionise the lending space in support of women-owned businesses, enabling them to fulfill their potential.

President of the association, Mr Gbemi Adelekan, made this known in an interview with the News Agency of Nigeria (NAN) on Saturday in Lagos.

NAN reports that International Women’s Day, annually celebrated on March 8, is a global day to acknowledge the social, economic, cultural, and political achievements of women.

Adelekan said that licensed money lenders, in celebrating women, are providing small loans to help women in the country boost their incomes and support their families.

He stated that women, from petty traders to tailors, shop owners and market vendors, from entrepreneurs to online business owners, patronise licensed money lenders more than banks.

This, he noted, is because money lenders, aside from providing collateral-free loans, are more easily accessible and do not require excessive documentation.

“Many Nano, Micro, Small and Medium-sized Enterprises (NMSMEs) are mostly women-led and owned, so providing them with better financial options has helped improve women’s livelihoods and incomes,” he said.

Adelekan said that in Nigeria, NMSMEs account for more than 90 per cent of all enterprises, with the number of women-owned businesses on the rise in recent years.

He, however, said that access to credit from traditional banks still remained a tiresome task for most women.

He said that to circumvent the disappointments, more women could turn to mobile loan apps by licensed money lenders to get the required cash to meet emergency needs.

“The informal sector is a critical backbone of the economy of Nigeria, as it contributes to about 58.2 per cent of Gross Domestic Product (GDP).

“The Nigerian woman plays a major role in the economy through her activities in the informal sector, and money lenders will continue to provide inclusive financing for both the formal and the informal sectors.

Loan apps provide convenient and accessible financial services to underserved populations, who are mostly women, including those without traditional banking relationships or credit histories,” he said.

Adelekan restated that the association is committed to providing inclusive financing, irrespective of gender or ethnicity of borrowers, to help bridge the financial inclusion gap in the country.

A survey by NAN on Saturday in Lagos revealed that NMSMEs owned by women appreciated the swift access to finance, particularly to run their small businesses daily.

Mrs Ekom Essien, a baker, stated that employing the services of licensed money lenders was a smart decision for her business, given the uncertainty she experienced in the cost of flour, sugar, and other ingredients.

According to her, she has been using Kwikpay Credit for over five years, which offers loans to low-income earners, artisans, and NMSMEs.

Essien said that the difference between licensed money lenders and others is the manner in which repayments and interest are handled.

Also, Mrs Abiola Folorunsho, a dressmaker, said since she started utilising the services of money lenders, she had been able to do more with her skills.

She said that because of her ability to access a credit facility of up to N100,000, she had been able to expand her business by adding sales of fabrics and sewing materials.

“It is important for women, some of whom are breadwinners, to undertake various business ventures to improve the income of the home,” she said.

Mrs Beatrice Nwachukwu, a trader at Ajah market, said that the licensed lender she uses helped her build her credit history, which she then used to apply for an even larger loan.

She said that more women patronise their services due to the flexibility in the repayment of loans, including daily, weekly, or monthly installments, to accommodate the borrower’s cash flow. (NAN)(www.nannews.ng)

Edited by Olawunmi Ashafa

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