Tech in Africa
UN Capital Development Fund (UNCDF) alongside the Swedish International Development Cooperation Agency (Sida) has partnered to tackle digital technologies challenges faced by MSMEs across Zambia, especially the need for credit or capital to operate and scale their businesses.
Henri Dommel is the Director of Inclusive Finance UNCDF. An excerpt from his statement shared on the UNCDF website says “Our partnership aims to support the MSME sector in Zambia with innovative financing instruments. Digitalizing financial services for MSMEs will impact under-served segments such as women and youth and contribute to Zambia’s development.”
The project will see the two organizations increase access and usage of credit facilities such as Pay-as-you-go services for MSMEs working in the agriculture, finance, trade, and energy sectors.
MSMEs employ an impressive 88 percent of workers in Zambia. And are vital to the stability of the economy and the ability of people in Zambia to earn decent wages from decent work.
Active users of digital finance in Zambia has increased from 2 to 44 percent of the population from the 2014 to 2019 period. More on the cooperation between Sida and UNCDF available here.
