The Women’s World Banking (WWB), a global non-profit dedicated to advancing women’s economic empowerment, is strengthening its efforts to bridge Nigeria’s financial inclusion gap through smart lending advocacy.
This initiative aims to enhance credit accessibility and efficiency for women entrepreneurs by integrating technology and education.
According to a PwC report, despite the fact that Nigerian women manage over 23 million microbusinesses, only 10% have access to formal financial loans.
This financial barrier has limited their growth, even though they account for 41% of microbusiness owners.
To address this, WWB recently hosted a workshop in Lagos titled “Advocacy Convening: Smart Lending – Business Skills and Digital Capabilities for Smarter Borrowing and Better Outcomes.”
The event gathered financial institutions and industry experts to come up with strategies for equipping women with essential business and digital skills.
“The goal is not just to provide funding but to ensure women have the knowledge and tools for sustainable financial success,” said Angela Wambugu, WWB’s Director of Advisory Services for Africa.
“By merging business education with digital innovation, WWB and its partners aim to unlock the financial potential of millions of Nigerian women entrepreneurs.”
The WWB’s Associate of Advisory Services for Africa, Ngozi Ndefo, highlighted the significant role that technology plays in this transformation.
“Women are key players in Africa’s economy, particularly in Nigeria, where many own microbusinesses. However, challenges like limited digital skills and restricted financial access hinder their growth.”
She emphasized that digital solutions, including mobile banking and financial literacy apps, can help overcome these barriers.
“Smart lending, which integrates proper bookkeeping, financial literacy, and digital tools, not only reduces default rates but also strengthens relationships between financial institutions and borrowers,” she added. According to the Central Bank of Nigeria, Financial literacy remains a pressing issue in Nigeria, where only 38% of adults are financially literate, and 40% lack banking access.
Women also face additional barriers, such as limited smartphone access—while 88% own mobile phones, only 23% use smartphones.
Ngozi also noted that “personalized digital solutions present a key opportunity.”
“Financial institutions must design tools that cater specifically to women’s needs, ensuring accessibility and security.”
Speaking also, Jennifer Iwueze, the WWB’s Regional Research Lead for Africa, stressed the importance of data-driven approaches.
“Thorough research ensures that loan products and training programs align with customer needs,” she said.
“For example, segmentation helps institutions tailor solutions based on age and literacy levels, reducing the risk of non-performing loans.” She added
“Simply introducing digital services isn’t enough—organizations must first assess whether their customers are ready for these tools.”
WWB’s partnership with FCMB Microfinance Bank highlights the impact of smart lending.
The Acting Managing Director of FCMB Microfinance Bank, Friday Nwakolo, stated that “Since adopting these principles, FCMB has introduced initiatives like health insurance, digital credit, and financial literacy programs designed for women.” He shared a success story of a female borrower who secured a ₦50,000 loan and later accessed ₦300,000 in health insurance during a hospital stay.
“This support allowed her to recover and continue her business without financial strain,” he noted. FCMB has also reduced loan processing times from two days to five hours, with plans to further streamline it to two hours.
Speaking also, the Managing Director of NUT Oke-Bola Microfinance Bank, Paul Adu, emphasized the power of collaboration, stating that his institution aims to increase female borrowers from 73% to over 80% by offering more inclusive financial solutions.
“The training provided practical insights for developing customer-centered products that address women’s unique financial needs,” he said.
Since its establishment in 1979, WWB has positively impacted over 83 million women in emerging markets by providing access to financial products and services.
In Nigeria, WWB partners with the Central Bank and other stakeholders to develop policies prioritizing women’s financial inclusion, particularly in underserved areas. With a goal to empower 100 million women by 2027, WWB continues to drive inclusive economic growth that benefits households, businesses, and communities globally.
