Nigeria’s fintech startup, Egoras, has launched zero-interest microcredit services to provide simplified financial solutions to small-business owners in the country.

According to the firm, the move is aimed at increasing the drive for financial inclusion and access to funding for Nigerians for both personal and business needs.

The firm stated that the interest-free loans aim to revolutionise the Nigerian-financial ecosystem through the introduction of a novel business model that thrives on the collateralisation of fairly-used assets such as electronics, furniture, and other types of household assets.

This, according to the firm, is to further the goal of providing instant credit facilities to the unbanked and underserved persons within the country’s financial ecosystem.

Commenting on the launch, the Chief Executive Officer of Egoras, Ugoji Harry, noted that the recent development reinforces the company’s commitment to cater to the financial needs of Nigerians through leveraging the latest financial technology.

He said the company’s vision is to build a digital ecosystem that thrives on blockchain technology, which empowers Nigerians and small businesses to access instant microcredits seamlessly.

“We aim to promote economic growth and development across Nigeria, including the African continent, through the creative elimination of financial institutions that make access to credit facilities difficult due to high-interest rates.

“It is on this backdrop that we have developed a unique system that is centred on the exchange of used assets for repayment purposes to support the growth of Nigerian business, particularly the unbanked or underserved communities,” he said.

Speaking on the development, the Media Director for Egoras, Moses Mudiaga, said the adopted business model of the organisation would redefine the operations of the financial ecosystem across the African continent, particularly Nigeria.

“For us at Egoras, we truly understand the pain points of small-business owners, who are frantically striving to access microcredit to either cater to their private needs or upscale their business operations. It is on this understanding that we have designed a bespoke microcredit scheme that seeks to support Nigerians and small enterprises through the provision of zero-interest instant loans with a flexible repayment plan,” he said.