February 21, 2022

Kenyan MFI applauded for good social performance and responsible finance practices

Finlusion’s TrustGro has recently been appraised for good social performance and responsible finance practices in its first Social Rating...

Finclusion’s TrustGro has recently been appraised for good social performance and responsible finance practices in its first Social Rating Assessment by MicrofInanza Rating (MFR) - a global rating agency that provide independent ratings aiming to enhance transparency, facilitate investments and promote responsible practices of organizations that work to achieve financial inclusion and sustainable development.

The internationally acclaimed agency rated TrustGro, BB

This rating overall highlights that although the business can improve, it is on track to realising its goal and vision to help enhance the quality of life of its customers through simple, convenient, and appropriate financial services.

In its assessment report, MicrofInanza Rating (MFR) further noted that the MFI’s overall alignment to client protection practices is adequate. Additionally, the rating agency indicated that TrustGro’s effort of maintaining staff gender balance, with 47% being women and a further 33% of women holding managerial positions, fosters the MFI’s positive social performance rating. The company also strives to keep HR procedures comprehensively formalized, however, notes the agency’s recommendations of how to make these formalized procedures work best for the company so that staff can be more heard.

With that said, MFR’s report indicates that the company’s geographical coverage of branch and satellite office network is good with a rural coverage of 38%. Although the total number of clients is small, the recent growth has been high, achieving a 72% growth of active borrowers and the average loan balance per borrower (48%) indicates outreach to a broad client segment.

TrustGro CEO Tonderai Mutesva said, “For our first social rating, this is a good place to be as it helps the company align its focus on where improvements can be made while appreciating the achievements and growth the business has been able to have.”

The company announced its rebrand to TrustGro in May 2021, boasting over 7000 clients, with the undertaking to build robust, integrated, and enabling technology platforms that will deliver personalised and easily accessible financial services.

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About TrustGro

TrustGro is a non-deposit taking microfinance company incorporated in Kenya and provides government payroll loans, private company payroll loans, vehicle logbook loans, salary advance loans. It has have 7 branches and 18 satellites with presence in 26 Counties.

About Finclusion:

Finclusion Group is enhancing financial inclusion in Africa by building transformative financial technology services focused on high-growth market segments, providing world-class customer experiences. Our businesses leverage our credit, risk and technology expertise to grant financial services safely and easily using advanced, proprietary AI algorithms. Our current key focus areas are financial wellness, credit scoring and direct lending, operating through the brands Fractal Labs, smartadvance, niftycredit, niftycover, TrustGro and Click2Pay in South Africa, Eswatini, Kenya, Namibia and Tanzania.

More info on www.finclusiongroup.com.