By Prince Osuagwu
Fintech startup, Kredete, has opened up an opportunity for more Nigerians to get access to credit facilities with the launch of an Artificial Intelligence, AI-powered application for lending activities.
The application will not only deepen accessibility to formal credit, but will also provide financial education, and innovative financial solutions
Kredete said it is committed to bridging the credit gap and financial exclusion faced by Nigerians who lack access to formal credit through traditional means.
It promises to revolutionize the sphere of lending in Nigeria and beyond by leveraging AI-driven technology and strategic partnerships with financial institutions to create a complete lending infrastructure that enables lenders to be more efficient and cost-effective while empowering users to access credit products suited to their needs.
The AI platforms enhances the pre-approval odds for users by providing tailored loan options based on their credit history and financial profile, while for lenders, it becomes easier to assess risks, reduce non-performing loans, and make informed lending decisions.
Founder and CEO, Kredete, Adeola Adedewe said Kredete is also passionate about strengthening financial literacy in Nigeria and will achieve this by offering free credit scores, reports, and monitoring tools to help users understand their credit standing and make informed financial decisions. These financial literacy tools prove mutually beneficial for lenders to help streamline their operations and provide loans to creditworthy borrowers, thereby fostering a healthier lending ecosystem.
Adedewe added that: “Kredete was founded out of my personal experience trying to secure a loan to start a business, and the difficulties experienced inspired me to help Nigerians access loans. Thus, we embarked on a mission to bridge Nigeria’s $360B credit gap and foster financial inclusion for the 82% of Nigerians who lack access to formal credit. We are deeply motivated by the importance of access to credit in any country – from empowering SMEs to spurring economic growth. So, we have positioned Kredete to leverage AI-driven technology to facilitate loans for Nigerian entrepreneurs that are faster and simpler to help their businesses scale”.
He said that while analysing the digital lending outlook in Nigeria, the company identified that one of the limitations to accessing lending opportunities is the difficulty in determining creditworthiness.
Therefore, it included free credit scores, reports, and monitoring to empower users to obtain credit products that meet their specific needs while equipping lenders with insights to make effective lending decisions, which he said would modernize Nigeria’s lending industry, provide a competitive edge, and set new standards for loan origination, risk assessment, and approval processes.
In only a few months since Kredete’s establishment, the company has formed strategic partnerships with over 25 financial institutions, including the largest African-based credit bureau, CRC Credit Bureau, and secured funding from prominent investors, including being backed by Techstars, a renowned startup accelerator powered by J.P. Morgan.
In its beta phase, the platform attracted over 70,000 users, demonstrating the strong demand for its services, and signifying the high demand for credit access in Nigeria.
Photo: Kredete: 17/4/2023
L-R: Chief Technical Officer, Kredete, Hakeem Oriola; Founder and Chief Executive Officer, Kredete, Adeola Adedewe; and Head of Product, Kredete, Ebuka Arinze; at the official launch of Kredete, a lending platform to deepen credit access for Nigerians, in Lagos, recently.