Diamond Bank disburses ₦1 billion to SMEs

Diamond Bank Plc has announced its disbursement of over ₦1 billion under the cash flow-based small and medium enterprise (SME) lending scheme.

The scheme which was launched in January 2017 in partnership with the Women’s World Banking (WWB), has a strategic focus on cash flow, net asset capacity, character and business proficiency of SMEs as a means of determining their eligibility to access credit.

WWB is a non-profit organization that provides strategic support, technical assistance and information to a global network of 40 independent microfinance institutions (MFIs) and banks that offer credit and other financial services to low-income entrepreneurs in the developing world, with a particular focus on women. The WWB network serves 24 million micro-entrepreneurs in 28 countries worldwide, of which 80 percent are women.

Commenting on the achievement, Uzoma Dozie, CEO, Diamond Bank Plc said: “This milestone is a demonstration of our resolve to develop innovative ways of advancing financial inclusion in Nigeria and a signal to many more successes to come as we push through our technology-driven retail-focused strategy, designed to position Diamond Bank as the most profitable and fastest growing retail bank franchise in Nigeria by the year 2020”.

Under the lending scheme, according to him, the bank was able to disburse a total of ₦267 million during the pilot phase, while it disbursed ₦750 million between June and August 2018. He noted that all the loans disbursed under the scheme to the 550 small businesses are performing despite the recipients of the facilities being first-time borrowers.

“We are confident that the future of retail banking belongs to banks with disruptive business models and solutions that deliver superior customer experience through strategic alliances, as well as create life-style-focused products, processes and channels. We pride our financial inclusion strategy as the most robust and customer-centric in the Nigerian banking industry and will achieve more milestones through data-based initiatives,” Dozie added.

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