Volatile gig income and inflexible loan repayment schedules can be a dangerous mix, as this ride-hailing driver in Nairobi learned from experience. His story serves as a cautionary tale to lenders and borrowers in the gig economy.
As customers, agents and digital financial services providers adjust to COVID-19, it’s becoming clearer what a resilient agent network looks like. Providers should take note to prepare for future crises.
Kenya offers higher fees to providers that facilitate digital government-to-person payments in underserved areas. Today, this makes it easier to reach hundreds of thousands of low-income people with assistance during the COVID-19 crisis.
Gig workers in Kenya report major disruptions to business and depleted savings due to COVID-19 (coronavirus), while platforms signal eagerness to facilitate government-to-person payments or loans to hard-hit workers.
One company offers microcredit. The other offers PAYGo financing for smartphones, tablets and solar home systems. In what may be a template for other microfinance institutions, they are helping each other to reach more low-income customers.
By providing a combination of financial and nonfinancial services to over 16,000 smallholders, a social enterprise in northern Nigeria is harnessing the power of agriculture to create jobs for youth and improve livelihoods.
By working together to integrate entrepreneurship training and financial inclusion in Africa, youth-serving organizations and financial services providers could help young people build successful businesses and create jobs.