Saturday, April 13, 2024

Nisir Micro Finance doubles loan amounts


Nisir Micro Finance SC plans to increase its loan total from 200,000 to 400,000 birr as part of its five-year strategic plan to support young entrepreneurs starting this year. They also plan to deploy tech-based banking services.
Established in 2015, with 215 shareholders with 14.7 million birr in paid-up capital, the company wants to reach the ‘Missing Middle’ class in Addis Ababa to support new business and improve existing ones through their five branches.
Nisir provides loans for small and medium business (SME) and was able to mobilize over 450 million birr in five years of operation. In order to reach a majority of the public, the company plans to deploy modern financial technology to become more accessible. This makes Nisir the first among microfinance institutions to render core-banking, mobile banking, Internet banking, and ATM services.
The company also plans to increase the number of customers to 10,000 and mobilize over 850 million birr to benefit more youth. They found that eighty percent of those taking loans are between the age of 18-34.
”Nisir is targeting youth because they have been the reason for our existence,” said Binyam Tadesse, Board secretariat of Nisir Micro finance SC.
Nisir Micro offers loans service for students of higher institutions to buy laptops at low interest rates.
According to the board of secretary, the company can process all types of loans within a week, which is faster than most banks.
The National Bank of Ethiopia (NBE), is drafting a directive to allow Microfinance Institutions to operate like regular banks.
NBE’s data shows that the total assets of the 38 MFIs, , have reached 76.5 billion birr. Their total loan amount is 51.7 billion birr. Their assets have grown by 26 percent.
In five years, the company has grown to employ 70 people in five branches.

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