After 30 years of freedom and independence, some 22% of the Namibian population still lacks access to financial services (2017 Namibia Financial Inclusion Survey (NFIS), Namibia Statistics Agency in collaboration with BoN and FinMark Trust). Microfinance is recognised globally as an effective catalyst through which access to financial services can be broadened to reach wider sections of the population, particularly the poor often considered risky and unprofitable by conventional banking institutions. Microfinance services are provided to unemployed or low-income individuals because most of those trapped in poverty, or who have limited financial resources, do not have enough income to do business with traditional financial institutions.
Microfinance services are not limited to the provision of credit alone, but to offering of a variety of financial products including loans, savings, micro-insurance, financial literacy and transactional accounts to meet the needs and creating convenience for customers at the bottom of the socio-economic pyramid. To that end and in pursuit of its primary objectives, Kongalend is hard at work developing savings products tailored to the needs of its customers, within the realms of relevant deposit taking regulatory framework.