UNO Digital Bank Partners with 1Sari to Empower Sari-Sari Storesby Fintech News Philippines June 1, 2023
Philippines UNO Digital Bank has partnered with 1Sari Financing Corporation to support the growth of sari-sari store owners and micro-enterprises that play a crucial role in the country’s economy.
These store owners face challenges in expanding due to a lack of capital, and the collaboration aims to provide financial solutions to help them thrive.
The partnership will offer various loan options, including general-purpose loans, inventory financing loans, and working capital loans, catering to salaried individuals and self-employed entrepreneurs. UNO Digital Bank’s lending strategy will focus on inventory financing.
“SMEs are a major driver of the Philippine economy. This partnership with 1Sari will help us drive credit inclusion for this very important segment. This is a good starting point for UNO Digital Bank in making lending simpler and more accessible,”
said Manish Bhai, UNO Digital Bank CEO and Founder.
According to the 2021 Financial Inclusion Study by the Bangko Sentral ng Pilipinas, 57 percent of Filipinos rely on informal credit, with complex application processes deterring borrowers from seeking loans from formal financial institutions.
UNO Digital Bank aims to increase loan accessibility to a broader population segment and promote financial empowerment.
To ensure responsible lending, the bank is collaborating with Proxtera on an SME Financial Education Program. This programme will sponsor certification courses for 10,000 SMEs, granting participants exclusive offers and accelerated onboarding.
By leveraging proprietary algorithms, the bank can extend loan offers directly to individuals relying on informal lending sources.