New York-headquartered Venio has begun offering easy-to-access credit facilities to unbanked consumers in the Philippines.
Venio has developed a smartphone app providing so-called nano-credit facilities to consumers in emerging markets. These nano loans start at $1, which in the Philippines could cover the cost of two kilos of rice, basic medicine and transportation to and from work for a week.
The company’s aim is to “lift a generation of unbanked people into the financial system, help them to achieve financial discipline and a credit footprint in order to open up fair and equal access to useful financial services that wouldn’t otherwise be available to them.”
Venio also argued that its services have come in particularly high demand during the Covid-19 pandemic, which has made it more difficult for people to access their basic necessities.
The company boasts that its app was downloaded more than 10,000 within the first week of operations.
“Venio aims to revolutionize personal finance in emerging markets through a community grassroots approach facilitated by leading tech,” said Warren Platt, founder and CEO at Venio. “The global payments industry is advancing at a fast pace, however, access to loans and other services has not been universal despite the strong demand.
“Venio is addressing this problem head-on and is bringing financial services to the unbanked in emerging markets where small loans are essential products for driving financial inclusion, which is critical for the vibrant growing economy of the Philippines and wider global markets.
“The Venio App has been designed to encourage responsible lending and borrowing and will allow customers to build their own credit history opening a gateway of financial services. In the post-Covid era financial inclusion must be ensured for the economic development of communities impacted by the pandemic.”
Diego Jose Ramos, founding director of the Philippine Association for Digital Commerce and Decentralized Industries and a board trustee of the Fintech Philippines Association, added, “The health crisis is likely to exacerbate inequality as those already financially excluded have been disproportionately impacted. Fintechs such as Venio have a clear role to play in delivering financial inclusion and empowering more people economically, the journey begins with access to services and the start of a credit history, which in turn can open limitless possibilities for growth not just for individuals with access to financial services but the economies they participate in.”
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