Microfinance banks play an important role in Nigeria’s financial landscape by providing essential banking services to underserved populations and small businesses. They offer a range of financial products tailored to meet the needs of individuals and entrepreneurs who may not have access to traditional banking or want a more inclusive service for their financial needs.
In this article, we will explore the top ten microfinance banks in Nigeria. These institutions not only foster financial inclusion but also contribute to the overall economic growth of the nation.
Top Fintech Companies in Nigeria.
- Kuda Microfinance Bank
- Source Microfinance Bank
- Baobab Microfinance Bank
- AB Microfinance Bank
- Sparkle Microfinance Bank
- LAPO Microfinance Bank
- Assets Microfinance Bank
- FINA Trust Microfinance Bank
- VFD Microfinance Bank
- RenMoney Microfinance Bank
1. Kuda Microfinance Bank
Termed “The Money app for Africans” KUDA is a digital-first microfinance bank that emphasizes convenience and accessibility.
Its Founders, Babs Ogundeyi and Musty Mustafa sought to eliminate the frustration people had with excessive charges on their transactions with their traditional banks and as a result, KUDA was born.
Kuda distinguishes itself with zero maintenance fees and no hidden charges, making banking affordable for everyone.
Office Location: Ikeja, Lagos
Team Size: 100 – 600 Employees
Year founded: 2019
Key Services: Savings accounts, loans, budgeting tools.
Source Microfinance Bank
Source Microfinance Bank is dedicated to empowering small business owners and low-income earners through tailored financial products. The team led by Akainimoh Ojo seeks to create a financial service that attends to its clients every need.
Their personalized approach ensures that their clients receive customized solutions that fit their unique financial situations.
Office Location: Lagos, Nigeria
Year founded: 2014
Team Size: 51 – 200 Employees
Key Services: Savings accounts, Financial advisory services, and microloans.
Baobab Microfinance Bank
As the microfinance bank in Nigeria, Baobab Microfinance has set itself as a trusted partner for businesses and individuals, it focuses on promoting financial inclusion by offering a wide range of financial services to small businesses and individuals.
Baobab is known for its flexible repayment plans and commitment to supporting entrepreneurs in their growth journeys.
Office Location: Lagos, Nigeria.
Year founded: 2012
Team Size: 1000 – 5000 employees
Key Services: Microloans, Savings products, and Business advisory services.
AB Microfinance Bank
AB Microfinance Bank aims to provide financial services that promote entrepreneurship and self-employment. Their focus on financial literacy and capacity building sets them apart, helping clients make informed financial decisions.
Office Location: Lagos, Nigeria
Year founded: 2009
Team Size: 200 – 1000 employees
Key Services: Microloans, Savings accounts, Business Development Training Programs.
Sparkle Microfinance Bank
Established in 2020, Sparkle Microfinance Bank is a financial institution with its eyes set on revolutionizing the Microfinance space with a technological approach.
One unique feature that sets Sparkle Microfinance Bank apart is its seamless app experience and commitment to digital banking.
Office Location: Lagos
Year founded: 2020
Team Size: 11- 50 employees
Key Services: Savings accounts, Personal loans, and Expense tracking tools.
LAPO Microfinance Bank
LAPO Microfinance Bank is one of Nigeria’s Largest microfinance institutions, with over 15 branches and 7000 employees focusing on uplifting low-income individuals and communities.
They are well-regarded for its community-focused approach and extensive outreach programs that educate clients on financial management.
Office Location: Ikeja, Nigeria
Year founded: 2002
Team Size: 7000 Employees
Key Services: Microloans, Savings accounts, and Social empowerment programs.
Assets Microfinance Bank
Assets Microfinance Bank aims to provide innovative financial solutions for individuals and small businesses.
Assets is known for its quick loan processing times, ensuring clients receive timely access to funds when they need them most.
Office Location: Lagos, Nigeria
Year founded: 2002
Team Size: 201 – 500 employees
Key Services: Personal loans, Business loans, and Savings products.
FINA TRUST Microfinance Bank
FINA Microfinance Bank focuses on delivering accessible financial services to the unbanked and underbanked populations.
FINA’s dedication to financial inclusion is evident in its outreach initiatives that target rural communities. FINA Trust’s mission is to raise the bar in microfinance banking by helping people and entrepreneurs improve their finances through great service and innovative products delivered by a skilled team.
Year founded: 2017
Office Location: Lagos, Nigeria
Team Size: 51-100 employees
Key Services: Microloans, Savings, and Insurance and Investment Products.
VFD Microfinance Bank
VFD Microfinance Bank blends traditional banking with innovative digital solutions to serve its customers effectively.
VFD’s robust technology platform ensures a seamless banking experience and attractive interest rates on savings.
Office Location: Lagos, Nigeria
Year founded: 2018
Team Size: 50 – 100 employees
Key Services: Payment Processing, Payment Solutions, Invoicing.
RenMoney Microfinance Bank
RenMoney is committed to providing quick and accessible financial solutions to individuals and small businesses.
As a leading Microfinance bank in Nigeria, RenMoney stands out with its rapid loan approval process and transparent terms, making borrowing straightforward and hassle-free.
Office Location: Lagos, Nigeria
Year founded: 2012
Team Size: 501 – 1500 employees
Key Services: Personal Loans, Business Loans, Savings and Investment Opportunities.
FAQs About Microfinance Banks in Nigeria
How do I Find a Microfinance Bank in Nigeria?
There are several steps you can follow to ensure you find the right microfinance bank for your needs.
Step 1: Define Your Goals and Needs
Clearly define your goals and requirements. Decide what part of your finances are most in need of help and look for microfinance that fit that role.
Step 2: Initiate Your Search
Begin your search by going through the list we prepared. Explore Company websites, pay attention to conversations centered around Finance, and read through the websites of interesting companies.
Step 3: Assess Their Online Presence
Pay rapt attention to the quality of their online presence and reputation. Look for a clear information structure, easy navigation, and relevant services. Check their presence on social networks like LinkedIn and Facebook for more insights and reviews.
Step 4: Get in Touch
Download the apps of the shortlisted banks or contact them via email, highlighting your interests, and carefully read through the terms and conditions involved in using them. services
