Malawi Enterprise Development Fund (MEDEF) and Malawi Post Cooperation (MPC) have signed a business agreement with the aim of simplifying access to loans and loan repayment, especially from people based in rural areas.
According to the business deal, MEDEF will use MPC Post Offices across the country to disburse loans and collect repayments.
Speaking to MANA after presiding over the signing in ceremony of the Memorandum of Understanding (MOU) between the two sides, Minister of Information and Communications Technology Nicholas Dausi said the agreement is a win-win situation for both entities as it will boost the growth of their respective businesses.
“This arrangement is good development for social development in the country as well the two institutions as they will both increase their business,” Dausi said.
According to the Board Chair for MEDEF Patrick Chilambe, his organization has introduced the new innovative way of loan accessibility and repayment to ensure that it reaches out to its target people mostly those in rural areas.
‘Poor repayment of loans is one of reasons why the fund has not been growing. This has been the case because most of our customers live in rural areas and we are not always there to recover the money
So this arrangement has been made because we want to go closer to the people,” Chilambe said.Follow and Subscribe Nyasa TV :