Gunning for the unbanked

IN an effort to extend financial services to more poor people, especially those in the rural areas, NamPost and Nedbank Namibia have joined hands in a new strategic partnership.

The two companies yesterday announced that they would jointly provide a broad range of affordable financial services to all Namibians. About 50 per cent of Namibians are said to be either unbanked or under-banked.Through the venture, NamPost clients will have access to small loans from Nedbank and can apply for these loans at any of the 122 post offices countrywide.Once approved, the money will be paid into the client’s smart-card account and repayments will be deducted monthly.NamPost clients will also qualify for insurance products from the Old Mutual Group.NamPost CEO Sakaria Nghikembua said the details of what is on offer – like bank charges, sizes of loans and interest rates – would follow in due course.”We are looking at small loans, not very large amounts, as we do not want to overburden the people with amounts that they can’t pay back,” he said.Nedbank MD Bill Turton said the venture would be an ongoing process to give everyone access to financial products.”This is a progressive, sustainable partnership and a way into the future,” he said.Also at the event, the Permanent Secretary of Works, Transport and Communication, Shihaleni Ndjaba, commended the public-private company joint venture, saying this development was important for achieving Vision 2030.Nedbank pipped five other commercial banks, including two from South Africa, to win the tender to get into this deal with NamPost.About 50 per cent of Namibians are said to be either unbanked or under-banked.Through the venture, NamPost clients will have access to small loans from Nedbank and can apply for these loans at any of the 122 post offices countrywide.Once approved, the money will be paid into the client’s smart-card account and repayments will be deducted monthly.NamPost clients will also qualify for insurance products from the Old Mutual Group.NamPost CEO Sakaria Nghikembua said the details of what is on offer – like bank charges, sizes of loans and interest rates – would follow in due course.”We are looking at small loans, not very large amounts, as we do not want to overburden the people with amounts that they can’t pay back,” he said.Nedbank MD Bill Turton said the venture would be an ongoing process to give everyone access to financial products.”This is a progressive, sustainable partnership and a way into the future,” he said.Also at the event, the Permanent Secretary of Works, Transport and Communication, Shihaleni Ndjaba, commended the public-private company joint venture, saying this development was important for achieving Vision 2030.Nedbank pipped five other commercial banks, including two from South Africa, to win the tender to get into this deal with NamPost.