Advans La Fayette Microfinance Bank has Advans-La Fayette Microfinance Bank on Tuesday 2nd of july, announced the opening of its newest branch out of Oyo state – the bank’s first branch in Lagos promises to increase capital loans for small and medium scale businesses in the state.
Over the years, the bank had grown to be one of Nigeria’s leading microfinance banks, fully committed to responding to the needs of micro, small and medium-sized enterprises .the bank’s vision is to build a model group of financial institutions which contribute to strengthening local businesses, creating and sustaining jobs and improving clients’ living standards in order to foster private sector-led economic and social development in Africa, the Middle-East and Asia.
Speaking at the grand opening of the Lagos one branch in Victoria Island, Guillaume Valence, managing director, Advans-La Fayette MFB said Micro, Small and Medium Enterprises are the major contributors to growth and economic development as well as the first employer in Nigeria.
“SMEs still lack both the necessary business and financial support to develop their activities. By supporting this population, Advans-La Fayette MFB is contributing to the national objective to reduce financial exclusion rate to 20 perecnt by 2020,“ said Valence.
He further explains that the micro finance will be willing to give out loan facilities on basis of no collateral to sustainable businesses.
“One of the things we will be doing differently is that you can get a loan without savings. If you look at the micro finance base, you have to own an account and save for certain months before access the facility. We know people who run businesses don’t need money in month’s time.
“Advans is coming into the market with a different way to handle the business bringing more efficiency operations. What matters is that the working capital of people we are working with is actually growing which is what is paramount” Valence said.
Also spaeaking at the launch Obinna Ukachukwu , the deputy chief executive Officer, said that we are thrilled to be expanding our footprint into the vibrant Lagos market stating that ‘‘I am assuring SMEs here in Lagos that we are about sustainable impact, As a client-oriented financial institution, we believe our core values and relationship-based banking philosophy meet the personal and business banking needs of Lagos MSMEs, We look forward to supporting the thriving commercial and small business enterprises, we invite everyone to stop by today to discover a better way to bank,“ he said.
Ukachukwu, who also spoke on credible loan facilities, emphasised that the loan facilities will be on selection methodology.
“In micro finance base, we are actually recapitalising. We at Advans, we are ahead of the capitalisation call and we raise to keep being in line with the regulators capitalisation requirement
“Concerning loan default, if we look at the market we will see that there is a lot of advantages on collateral base lending and people make decisions base on the kind of collateral they can actually get. We take loans but we emphasise on selection methodology. We are very practical about businesses we give loans to. We select businesses that are in business and sustainable” he said.
ANTHONIA OBOKOH
