Onome Amuge
The Alternative Bank, one of Nigeria’s leading non-interest financial institutions, is making a push to bridge the nation’s financial inclusion gap by targeting millions of market traders and smallholder farmers. The bank partnered with the Association of Market Women/Men and Farmers of Nigeria (AMWMF) to provide a suite of tailored financial and non-financial services to its members.
The initiative is designed to address a persistent challenge in Nigeria, where, according to the Central Bank, an estimated 28.8 million adults remain financially excluded. This exclusion disproportionately affects rural communities, the informal sector, and women, who often lack access to formal banking infrastructure and are deterred by a lack of trust and financial literacy. By focusing on this segment, The Alternative Bank aims to not only enhance economic empowerment but also unlock a new and significant growth avenue for its own business.
Through its partnership with the AMWMF, which boasts over 16 million members, The Alternative Bank is offering a comprehensive package of financial solutions. This includes zero-fee accounts, microloans, and specialized SME funding aimed at fostering business growth and financial independence. The bank is also directly addressing common barriers to entry by providing no initial fees for point-of-sale (POS) terminals, making it easier for market vendors to accept digital payments.
Korede Demola-Adeniyi, executive director at The Alternative Bank, emphasised the institution’s commitment to breaking down historical barriers. “For the unbanked and underbanked, the challenges go beyond the lack of physical infrastructure and extend to deeper issues of trust, financial illiteracy, and systemic exclusion,” she said.
“We are committed to breaking these barriers by offering tailored solutions and championing programs that empower people to take control of their financial futures,” Demola-Adeniyi added.
Beyond traditional banking products, the bank is exploring innovative solutions to meet the diverse needs of grassroots entrepreneurs. This includes the deployment of electric-powered tricycles to assist market vendors with the transportation of goods, the introduction of health and medical kiosks in underserved areas, and a waste-to-wealth programme designed to help participants convert waste materials into viable income-generating ventures.
The initiative, which began in Oyo State, has received strong support from AMWMF’s leadership and is set to be rolled out across 15 other states throughout the year. Erelu Becky Olubukola, national president of the association, lauded the collaboration as a crucial step toward creating an environment where every member has the opportunity to thrive. The partnership not only provides a scalable model for financial inclusion but also leverages the association’s established trust and network to reach a vast number of potential new customers.
This expansion positions The Alternative Bank at the forefront of a growing movement to formalise Nigeria’s informal economy. By combining a non-interest banking model with targeted financial products and innovative community support programmes, the bank is not only addressing a critical social need but is also carving out a distinct competitive advantage. Its ability to successfully execute this national rollout will serve as a key indicator of its long-term growth prospects and its potential to contribute to broader economic development at the local level.
When applause travels faster than hunger