Regulation on Digital Lending Long overdue in Ethiopia
The central bank views digital lending as a tool to achieve basic financial inclusion at scale. Since 2022, when the first digital lending platform was launched in Ethiopia, more players have followed suit, and the country now has around a dozen such platforms.
However, shortcomings in transparency, credit limit policies, awareness campaigns, and borrower protection mechanisms are already emerging in this nascent sector, highlighting the need for robust, locally tailored digital lending laws.
Insights Powered by Project AKOFADA
https://shega.co/news/regulation-on-digital-lending-long-overdue-in-ethiopia
The central bank views digital lending as a tool to achieve basic financial inclusion at scale. Since 2022, when the first digital lending platform was launched in Ethiopia, more players have followed suit, and the country now has around a dozen such platforms.
However, shortcomings in transparency, credit limit policies, awareness campaigns, and borrower protection mechanisms are already emerging in this nascent sector, highlighting the need for robust, locally tailored digital lending laws.
Insights Powered by Project AKOFADA
https://shega.co/news/regulation-on-digital-lending-long-overdue-in-ethiopia