Saturday, 2nd December 2023

Fiducia set to catalyse exponential growth in Nigeria’s supply chain finance ecosystem

By Adaku Onyenucheya
01 June 2023   |   3:06 am
Fiducia, a technology supply chain financing platform, has rolled out solution to catalyse the growth of Nigeria’s supply chain financing market to N12 trillion.

L-R: Roosevelt Ogbonna, MD/CEO Access Bank Plc.; Imohimi Aig-Imoukhuede, MD/CEO Fiducia; Ms Bunmi Lawson, Chairperson Fiducia Board of Directors; Aigboje Aig-Imoukhuede, Chairman, Coronation Group; Segun Ogbonnewo, Fiducia Board of Director; Adebayo Adewolu, CEO, Trium Limited at the launch of Fiducia on Thursday

Fiducia, a technology supply chain financing platform, has rolled out solution to catalyse the growth of Nigeria’s supply chain financing market to N12 trillion.

Speaking at the formal launch in Lagos, the Chief Executive Officer of Fiducia, Imohimi Aig-Imoukhuede, said, while the International Finance Corporation (IFC) currently estimates the value of Nigeria’s existing supply chain financing sector at around N3 trillion, an additional N9 trillion could be unlocked for the economy if Micro Small and Medium Enterprises (MSMEs) could be brought into play.

According to him, Supply Chain Finance (SCF) is emerging as an effective instrument to reduce financing gaps in developing markets, and currently meets only about 24 per cent of the potential market.

He said MSMEs are estimated to generate more than half of the SCF opportunity according to the IFC.

Aig- Imoukhuede said Fiducia is founded with the express purpose of levelling the playing field for business owners in Africa by unlocking the value of their supply chains.

He said as at today, Fiducia is successfully driving inclusive Gross Domestic Product (GDP) growth by broadening financial inclusion, as a wider pool of small and mid-sized businesses enter Africa’s financial markets on the same terms and rates previously only available to large corporates.

He said Fiducia’s financial services and funding partner ecosystem includes many of Africa’s top developmental finance institutions, equally committed to solving Africa’s supply-chain finance challenges.

Aig-Imoukhuede disclosed that Fiducia was a game-changer for smaller businesses and mid-sized corporates, as they historically wasted resources on complex, time-consuming funding application processes that seldom delivered the desired results.

He assured partners and stakeholders of strictest adherence to both local and global best practices, including data privacy and security supported by an effective legal framework in demonstration of commitment to trust as reflected in the company’s name

“Fiducia is an innovative platform that connects corporate buyers, suppliers, and financiers in a digital marketplace where invoices can be financed and traded. By leveraging the credit profiles of their corporate buyers, Fiducia provides suppliers access to lowest-cost financing, while preserving the liquidity of corporate buyers,” Aig-Imoukhuede explained.

Also speaking, the Chairperson at the launch, Ms. Bunmi Lawson, said considering the size of MSMEs in Nigeria and the severe effect of big corporates’ payment cycles, the supply chain financing market remains largely untapped.

She added that by leveraging cutting-edge technology, building a community of financiers and suppliers offer businesses an opportunity to unlock the true potential of their supply chain.

“With our services, companies can access immediate funds, improve liquidity, and fuel their growth ambitions, while mitigating risks and minimising administrative burdens. What truly sets Fiducia apart is our unwavering commitment to bringing to you transformational solutions for Africa’s unique challenges, starting first in Nigeria,” she said.