On-ground app demonstrations by the Yabx Onboarding team educating the new-to-credit segments on how to apply for credits and loans through the platform.

Netherlands-based Fintech venture Yabx has announced its entry into Nigeria and says its mission is to democratise credit in the country by levering its digital lending solutions.

The company references World Bank research according to which the private credit bureau coverage in Nigeria was 13.9% in 2019.

Yabx says the numbers must have improved post pandemic but there is still a long way to go.

The focus is to bridge the gap between the new-to-credit segments and the banks in Nigeria at scale.

To do this, it has partnered with several African banks to “create large, scalable and profitable digital lending portfolios by leveraging its Fintech platform.”

The company wants to help banks to expand their service portfolios and launch several product lines including Buy Now Pay Later, Personal Loans, Payday loans and MSME loans.

Yabx uses Big Data Analytics and AI/ML algorithms on large volumes of alternate data to create a detailed financial identity of customers and help banks underwrite them over Yabx Loan origination and Lifecycle Management System.

This customer origination and servicing can be done on various channels like the bank’s own digital banking app, USSD channel, website or even as embedded options in third-party apps.

Rajat Dayal, CEO and Founder of Yabx says, “While digital financial services have catalysed financial inclusion, access to financial services and credit remains an obstacle in countries like Nigeria. Without available credit services, smalls farmers, SME owners, and the new to credit segments face difficulty in obtaining loans to make profitable investments or pay off debts”.

“Today, banks and financial institutions in Nigeria are more than keen to partner with us and launch new and innovative products for new-to-credit segment. Our platform doesn’t only increase the reach of such banks but also helps them play a major role in creating a global credit score which will eventually help the new to credit segments in the country build a life without any external aid.”