NAIROBI, Kenya- Faulu Microfinance Bank has unveiled a strategic business refocus aimed at enhancing its digital banking offerings and realigning its distribution channels and human capital for sustainable growth.
This ambitious initiative is part of Faulu’s strategy to turn around its performance and establish itself as a leading traders’ bank and digital finance provider.
At the heart of this transformation is a significant investment in digital capabilities.
Faulu Microfinance Bank CEO, Julius Ouma, emphasized the bank’s commitment to becoming a leader in the digital finance space.
“Over the last 18 months, we have made significant investments in enhancing our digital capabilities.
Many of the services that the bank offers are now available online, and our intention is to make our services more accessible for our customers,” Ouma stated.
To support these enhancements, Faulu has received over Ksh 900 million from its parent company, Old Mutual.
This funding will strengthen the bank’s operations and reposition its business model for long-term growth. Ouma added, “We will be leveraging the support of our Holding company, Old Mutual, to reposition Faulu as the digital bank of now.”
In line with its new operating model, Faulu is also expanding its support for Micro, Small, and Medium Enterprises (MSMEs).
Recognizing the vital role that MSMEs play in the economy, the bank is committed to providing more convenient transactional services and working capital facilities through a flagship digital lending platform.
“We see great opportunity to grow our investment and support amongst MSMEs as they represent the lifeblood of our economy,” Ouma noted.
The bank’s strategic decision to review its distribution channels includes an active agency network of more than 70, ensuring a more robust and efficient service delivery.
Old Mutual Holdings CEO, Arthur Oginga, expressed confidence in the bank’s new direction.
“With this change, we are enhancing the Faulu service offering to our existing and future customer network, as well as positioning the business to deliver more value sustainably. Faulu has the full backing of Old Mutual in these endeavors, and we are confident that the refocus will drive shared value for all our stakeholders,” Oginga stated.
Faulu Chairman, George Maina, also highlighted the strategic importance of this refocus.
“This refocus is in line with our purpose of being our customers’ most trusted financial partner and helping them achieve their financial goals. It is also critical to the bank’s ongoing competitiveness in an ever-expanding financial services sector in Kenya,” he said.
