In Nigeria, an extremely small percentage of the population have their own bank accounts. Women face limited economic prospects, as Nigeria presently faces a significant gender pay gap and a lapse in financial inclusion. Only 35% of women and 55% of men have access to financial services. Addressing these issues requires a concentrated effort, but with effort, Nigeria can unlock the immense potential of the female population. Driving this economic growth can foster a more equitable and prosperous society.
The Women’s World Bank posits that fewer than 10% of Nigerians have formal credit. This issue significantly affects self-employed women, who constitute an integral segment of the economy yet suffer from restricted economic opportunities.
The First Women-Focused Bank in Nigeria
Herconomy is a bank account designed to aid women in West Africa to gain financial independence. This gives women a choice for a better future for themselves. Herconomy can help reduce poverty by giving women in West Africa the tools they need to become financially independent. When women have control of their finances, they can be a player in the economy. Freedom to pay for education, start businesses and support their families. This can lead to increased economic growth and a reduction in women’s poverty.
Founder of Herconomy Ife Durosimi-Etti believes that her solution is the key to boosting women’s financial independence. To reinforce her conviction, Herconomy’s mobile savings app can save and earn up to 10% in annual interest.
Herconomy is Nigeria’s first women-owned fintech company, dedicating its services to women entrepreneurs. Creating a better economic future to build the bank for women in Africa from their financial services. It offers a vault service that achieves automated savings, earns interest and breaks bad savings habits. The platform also offers Float services to save and withdraw, as well as aiding with saving plans for a user’s future goals.
This women-focused bank was a recipient of the Black Founders fund of $4 million for fintech startups, backed by Google. This milestone achievement will enable Herconomy to reach new markets, facilitate job creation and create more innovative fintech solutions. Women lead 72% of Herconomy, showing the pivotal impact of women when shaping Africa’s financial ecosystem.
Durosimi-Etti stated that, in the company, “We are harnessing the power of technology to address some of Africa’s most pressing challenges.” The company deepens the mission to build a women-focused bank to ensure women reach their full economic potential.
Herconomy successfully captivated the interest of 500 women participants, leading to collective savings that surpassed $100,000. This noteworthy achievement regenerates the appeal and progress of the Herconomy app which was introduced in 2022. boasting over 5,000 active savers who utilize its features to cultivate their savings habits. The substantial number of participants and the considerable amount of savings amassed are testaments to the app’s efficacy and the positive impact it has had on empowering women to take control of their financial futures.
Ultimately, Herconomy facilitates the first women-focused bank in Nigeria, emerging as a pivotal landscape to erode the gender pay gap and empower and prioritize financial needs for inclusive economic growth. Herconomy signifies the importance women wield in the startup fintech economy. This new drive of innovation acts as a catalyst for women’s empowerment.
The benefit of $200,000 in cloud credits, ad support, one-on-one mentoring by industry experts and invaluable connections within Google’s network highlights the need for advocating women-focused banking.
– April Plenderleith