Lovonus Microfinance Bank is Set to Distribute a Loan of N1.5 Billion.
Lovonus Microfinance Bank has announced its intention to disburse approximately N1.5bn in loans to customers by the end of the year. This information was shared by the bank’s Managing Director, Simeon Oni, during a recent interview with journalists in Lagos. The bank, which has been in operation for over ten years, is also focused on expanding its customer base to 11,500.
In the first half of the year, Lovonus MFB reported an 11% increase in its client base, rising from 9,536 to 10,584. This growth reflects the bank’s ongoing efforts to enhance its services and reach more customers. Oni highlighted that the upcoming “ember” period is typically the bank’s peak season, and they plan to capitalize on this by introducing more features on their digital platforms.
Oni noted that the bank intends to leverage additional personnel to manage the expected increase in demand during this busy season. As they project to close the year 2024 with a loan disbursement of N1.5bn, the bank remains committed to its growth strategy and customer satisfaction.
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However, the banking sector is currently facing challenges due to recent hikes in the monetary policy rate. According to Oni, the bank often encounters customer requests for rate adjustments during such economic shifts, particularly in today’s challenging global economy.
The Monetary Policy Committee of the Central Bank of Nigeria raised the benchmark rate by 50 basis points to 26.75% from 26.25% in May 2024. Oni explained that customers tend to seek new rates whenever the MPR is increased, but the bank must carefully manage its competitive advantages to ensure clients remain supported.
Despite the pressures to maintain profitability, Oni reaffirmed the bank’s dedication to supporting both social and economic objectives. He emphasized the importance of balancing financial performance with the needs of their customers.
Finally, Oni reiterated Lovonus Microfinance Bank’s commitment to adhering to regulatory directives while fostering strong relationships with clients. He concluded by stating, “Our mission is to enrich lives, and we do so through innovation and teamwork.”
