The Central Bank of Nigeria (CBN) reportedly has issued a license to Alert Microfinance Bank enabling it to operate across the state of Lagos. The microbank was founded in 2013 as Boig Microfinance Bank, with a “unit” license allowing it to operate up to five branches. Alert serves individuals as well as micro-, small and medium-sized enterprises (MSMEs) with a mobile app, savings services and various loan products. Several of these products are designed specifically for purposes such as serving youth, helping parents pay school fees and enabling companies to acquire fixed assets. Alert’s diaspora product offers Nigerians loans up to the equivalent of USD 280 if someone who sends them money from abroad places a refundable deposit via Alert’s app. The borrower pays monthly interest of 3.5%, and the guarantor receives a bonus of 5% on the deposit when the loan is repaid. Alert reports serving 24,000 customers with total assets of USD 6.7 million.
Author: Rohan Kumar Agarwal
