Tigo Tanzania launches innovative nano lending scheme to its customers
Leading digital lifestyle company, Tigo (www.Tigo.co.tz), announced today that it will launch an easy to access nano lending product to its stable of mobile financial services. This new product will not require collateral and offers immediate access to small loans to Tigo Pesa users.
Tigo Head of Mobile Financial Services, Ruan Sawnepoel, said in a statement to the press today that for the first time the nano loans product, called Tigo Nivushe will allow Tigo Pesa customers to build their own credit history and being open to any Tigo Pesa customer turns the typical lending models upside down. No security is required or taken and the loan product has been designed to be transparent and foster responsible lending.
Explaining the product's flexibility, Swanepoel said Tigo Nivushe offers different lending periods with variable administrative costs based on the length of tenure. The loans — with an average of Tsh 10,000 (US$ 5) — are processed in real-time and funds transferred within minutes. As customers build up their credit history they are able to borrow higher amounts with lower administration fees. Loans are delivered directly to the mobile wallet so customers can immediately use the funds to pay bills, transfer to others, or cash out at the thousands of agents across the country, he noted.
“Tigo Nivushe has been designed to encourage responsible lending. Previous mobile behaviour is used to determine suitable limits for loans and customers will only be able to have one loan at a time. Protection against life shocks is included as everyone will be automatically insured for the loan amount against death or permanent disability. Most importantly, as the product is fee based no interest can be accumulated in the event of default and acquiring a loan will not affect mobile or Tigo Pesa accounts in any way, “ Swanepoel said.
The head of Mobile Financial Services further said: “We are thrilled today to be launching Tigo Nivushe. It is an essential product for driving financial inclusion, which is critical to Tanzania's continued economic growth and success. These quite small loans can make all the difference and are crucial for building credit history and obtaining credit in the future.”
Disruptive E-money services, delivered through mobile phones have already changed the lives of millions of people. With this new responsible lending product, Tigo wants to change the way people think about lending, according to Ruan.
For further information visit: www.tigo.co.tz or contact: John Wanyancha — Tigo Tanzania Corporate Communications Manager Mobile: 0658 123 089. [email protected]
About Tigo: Tigo Tanzania (www.Tigo.co.tz) is the leading innovative telecommunication company in the country, distinguished as a fully-fledged digital lifestyle brand. Offering a diverse product portfolio in voice, SMS, high-speed internet and mobile financial services, Tigo has pioneered innovations such as Facebook in Kiswahili, TigoPesa App &iOS users, Tigo Music (Deezer) and East Africa's first cross-border mobile money transfer with currency conversion. The Tigo 3G networks guarantees the best services to its subscriber's in all regions across the country. In 2015 Tigo launched 4G LTE network in Dar es Salaam and selected regions with plans to become available all over the country in 2017. In the past three years the company has launched over 500 network sites bringing its total network sites to over 2,000. It plans to double its investment by 2017 in terms of coverage and additional capacity networks for deeper penetration in rural areas. With over 10 million registered subscribers, Tigo directly and indirectly employs over 300,000 Tanzanians including an extended network of customer service representatives, mobile money merchants, sales agents and distributors. Tigo started its operations in Tanzania in 1994. Tigo is the biggest commercial brand of Millicom, an international company developing the digital lifestyle in 12 countries with commercial operations in Africa and Latin America and corporate offices in Europe and the USA. With the certain knowledge that only constant innovation will keep them on top, Millicom keeps creating greater shareholder value; applying their concept of “demand more” is how they do business and retain their position as digital lifestyle leaders in some of the most unique and challenging markets.