In collaboration for a report detailing the societal benefits of Artificial Intelligence in South Africa, the Boston Consulting Group, Microsoft South Africa including Wits…
Credit information and risk management solution Creditinfo, has signed a USD$1.1-million agreement with Nairobi-based mobile financial solution Alternative Circle, to facilitate financial inclusion within Africa.
Creditinfo’s seed capital and expertise in both classic and alternative credit risk management will allow Alternative Circle to access data that it otherwise couldn’t.
“Seeing the turn that the credit risk management industry has been taking during the past few years, we are being proactive in finding alternative ways to create data which can be added to the ‘classic’ historical data on consumers held via our credit bureaus all over the world,” said the founder and CEO of Credit Info Group, Reynir Grétarsson, in a press release.
“Alternative Circle has the stamina to succeed in this competitive market, and we look forward to winning new markets with them,” continued Grétarsson.
According to Grétarsson, the acquisition of Coremetrix, a psychometrics company in 2016, enabled Creditinfo to win over new markets “fast”.
Credit Info and Alternative Circle stand together to increase financial inclusion in Africa
“We are the efficiency leaders in creating data, especially in the markets where there is none or few. Thinking about the consumer first, we want to lower the barriers for him or her to get access to finance, as this is our main mission in the emerging markets,” said Grétarsson.
According to the founder and CEO of Alternative Circle, Kevin Mutiso, the partnership will enable his company to have a wider geographical footprint and access to better market opportunities.
“Partnering with Creditinfo will not only redefine the way risk is evaluated in Kenya and the world but it will bring on to the credit-ecosystem several SMEs that can now achieve their potential,” said Mutiso.
Seed investment along with a professional team will facilitate in building Alternative Circle’s mobile-based microloan platform.
According to the statement released by Creditinfo, the microloan platform is currently being tested and is expected to be live by the end of spring 2017.