Also receive offers from The Africa ReportOf course, ESG isn’t just about the environment. Its second social pillar has an equally important role to play. For fintechs, this can look like ensuring they hire diversely, support MSMEs, and contribute positively to employment in areas where it’s needed the most. But perhaps even more importantly, it also includes financial inclusion.
These enterprises not only serve as the engine of many economies across the African continent, but they also represent a segment historically ignored and under-served by the more traditional financial services players. By providing products and services which speak directly to the pain points of micro and small enterprises, fintechs can not only tap into a fast-growing and profitable segment but can have a positive impact on the overall prosperity of the country in which they operate.
Many people equate good governance with rigid structures and bureaucratic processes, but I disagree. A solid corporate governance foundation, coupled with the right corporate culture, has exactly the opposite effect. It frees an organisation from confusion and unnecessary work.It allows for decisions to be made more freely by people who have been empowered to take decisions. It ensures key decisions are placed with and taken by the most appropriate individuals within an organisation.