MfB unveils product to encourage financial inclusion
As parts of efforts to encourage financial inclusion, FINCA Microfinance Bank Ltd Nigeria, has launched an initiative designed for trade-masters and craft businesses to settle funds for apprentices.
In the apprentice system, craft and trade masters sell their skills in craft activities to the learner by providing training and necessary mentorship.
Many times, business owners have failed in their responsibility to settle their apprentice due to lack of funds at the point of settlement, which have in many cases culminated into socio-economic and psychological trauma for the apprentices.
However, in recent times, there has been a hindrance to the adoption of the system due to lack of trust and uncertainty with regards to the settlement of paying to complete the mentorship.
The initiative profiled, ‘FINCA Freedom Account’, is a savings account designed for trade-masters or businesses that need to settle funds for apprentices at the end of their apprenticeship
According to the bank, the product would be available to businesses that have apprentices. The trade master can open the account in the apprentice’s name and will be the sole signatory to the account. The account holders will earn a competitive and attractive interest rate on the account and the trade master determines how much to contribute and how long the account will run. This account comes with a 50 per cent of the accrued savings amount as start-up loan.
Speaking at the launch, Chief Executive Officer, FINCA Microfinance Bank Ltd Nigeria, Philip Takyi, said the product was developed as part of its commitment to serve the unbanked and its commitment to raise the next army of entrepreneurs in Nigeria.
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