Tag Archives: TransUnion

AMA

Leveraging Technology to Unlock Financial Inclusion and Economic Mobility in Malawi

MaraviPost

By Dumisani Kadango, Country Manager, TransUnion Malawi

LILONGWE, Malawi 7 August 2025 -/African Media Agency (AMA)/- Financial inclusion has become one of the most critical building blocks for sustainable economic development, not only in Malawi but across emerging markets. When individuals and small businesses have access to affordable, appropriate, and timely financial products and services, they are empowered to save, invest, manage risk, and improve their quality of life.

Yet in Malawi, a portion of the population still faces challenges in accessing comprehensive financial services. According to the 2023 FinScope Consumer Survey, 88% of Malawian adults are considered financially included, meaning they have access to and actively use formal or informal financial products and services. This marks a major shift from 2014, when 51% of adults were financially excluded. Notably, formal financial inclusion, which refers to the use of services provided by regulated financial institutions such as banks, microfinance providers, and mobile money operators, now stands at approximately 74%, up from 34% in 2014. The most rapid growth has been in the use of mobile money and other formal non-bank channels, which surged from 18% to 73% over the same period. While this progress is impressive, it conceals deeper issues. Only 13% of adults hold traditional bank accounts, down from 27% in 2014. This suggests that although mobile channels have expanded access significantly, reliance on full-service banking remains limited, raising concerns about savings, credit, and financial resilience.

Expanding Access Through Alternative Data

One of the biggest barriers to formal financial inclusion has been the lack of traditional credit information. Conventional lending relies on payslips, collateral, and credit histories, criteria many Malawians, especially informal workers and rural entrepreneurs, cannot meet. The rise of alternative data sources such as mobile money transaction logs, airtime purchases, utility payments, and other digital footprints offers a promising solution. These indicators allow lenders to better assess financial reliability and extend credit responsibly to underserved communities.

At TransUnion Malawi, we are supporting this shift by leveraging data-driven innovation to enable lenders to see beyond traditional credit histories. Through responsible use of alternative data, scoring solutions, and deep consumer insights, we’re working with partners across the financial ecosystem to help unlock access for those historically excluded, without compromising financial stability.

This approach is not merely about approving more loans; it is about responsible lending. When implemented correctly, data-driven credit scoring reduces risk for lenders while opening doors to economic opportunity for those previously excluded from the formal financial system.

Digital Platforms as Vehicles for Empowerment

Mobile phones have become the gateway to financial inclusion in Malawi. Digital platforms are breaking down longstanding barriers and reshaping how individuals engage with financial services. For example, a young entrepreneur in Lilongwe can obtain a microloan through a mobile app, unlocking capital previously out of reach. In Dedza, a smallholder farmer can access weather-indexed crop insurance via SMS, providing protection against climate-related risks. Meanwhile, a student in Zomba can use digital savings platforms to manage finances, monitor spending, and build a financial footprint that supports future borrowing.

These digital tools are more than convenient; they are transformative. Reliable, anytime-anywhere access to financial services through digital platforms reduces the physical, bureaucratic, and psychological barriers that have long excluded many from the formal financial system.

Building Trust and Digital Literacy

Despite growth in access, many remain hesitant to engage with digital financial services due to mistrust, lack of understanding, or prior negative experiences. Financial education and consumer protection are therefore vital.

Technology can serve a dual purpose: facilitating service delivery and providing education. Interactive SMS campaigns, in-app learning modules, and community-based digital training help demystify financial products, clarify terms, and guide users toward informed decisions. Transparency, through digital credit reports, real-time transaction alerts, and clear communication, empowers consumers to understand and manage their own financial profiles. When users grasp how their actions affect their financial futures, they are more likely to engage confidently and responsibly.

The Role of Collaboration

Achieving deep financial inclusion requires collective action. Regulators must craft policies that promote innovation while protecting consumers. Financial institutions need to adopt new models that reach underserved populations. FinTech companies and mobile network operators must develop accessible, user-friendly digital solutions tailored to diverse needs. Civil society organisations play a critical role in advocating for transparency, inclusivity, and representing marginalised voices.

This ecosystem approach ensures inclusion is not just broad but meaningful, enabling financial engagement and resilience. It means every Malawian, regardless of income or location, can participate fully in the economy, saving securely, borrowing wisely, investing in livelihoods, and safeguarding against uncertainty.

Seizing the Opportunity

Technology offers Malawi a unique chance to leapfrog traditional barriers to financial access. However, this promise can only be realised through intentional design, trust-building, collaboration, and ongoing financial education. If stakeholders unite around these priorities, the result will be far more than expanded access, it will ignite durable economic mobility and truly inclusive growth for Malawi’s future.

Distributed by African Media Agency (AMA) on behalf of TransUnion.

About TransUnion (NYSE: TRU)

TransUnion is a global information and insights company with over 13,000 associates operating in more than 30 countries, including Botswana, Kenya, Malawi, Namibia, Rwanda, South Africa, eSwatini, and Zambia. We make trust possible by ensuring each person is reliably represented in the marketplace. We do this by providing an actionable view of consumers, stewarded with care. 

Through our acquisitions and technology investments we have developed innovative solutions that extend beyond our strong foundation in core credit into areas such as marketing, fraud, risk and advanced analytics. As a result, consumers and businesses can transact with confidence and achieve great things. We call this Information for Good® — and it leads to economic opportunity, great experiences and personal empowerment for millions of people around the world. 

For more information visit: www.transunionafrica.com

Media Contact:

Keabetsoe Matshediso

keabetsoe.matshediso@fleishman.co.za

The post Leveraging Technology to Unlock Financial Inclusion and Economic Mobility in Malawi appeared first on African Media Agency.

AMA, Business

Understanding Your Credit Score and Why It Is Important

Maravi Post Reporter

WINDHOEK, Namibia, 8 May 2025 -/African Media Agency (AMA)/- TransUnion Namibia is committed to helping consumers better understand their financial options and the importance of maintaining a healthy credit score in today’s economy.

“At TransUnion Namibia, we’re committed to helping consumers understand their financial standing and the importance of maintaining a healthy credit profile. With greater awareness and access to credit education, more Namibians can be empowered to take control of their financial futures and fully participate in the economy,” says Lara Enslin, Country Manager of TransUnion Namibia.

Why Your Credit Score Matters

Your credit score is a numerical representation of your creditworthiness. It helps lenders determine whether to extend credit to you, and at what interest rate. Your credit score is calculated based on the information in your credit report.

Namibian consumers are entitled to one free credit report annually from each credit bureau. Reviewing this report helps you understand your credit history and identify any inaccuracies. If you notice errors, such as unfamiliar accounts or incorrect details, you can file a dispute with the credit bureau, such as TransUnion, to have them corrected.

Key factors that influence your credit score include:

  • Payment History: A strong indicator of reliability. Late payments negatively impact your score, so always pay at least the minimum amount due each month.
  • Credit Utilisation: This measures how much of your available credit you’re using. High utilisation can signal financial distress.
  • Length of Credit History: Older accounts help improve your score, so maintaining long-standing credit lines is beneficial.
  • Credit Mix: A variety of credit types such as credit cards, home loans, and personal loans can positively influence your score.
  • New Credit Applications: Opening several accounts in a short timeframe can raise red flags for lenders.

Building a Healthy Credit Profile

Improving your credit standing takes time and consistency. Avoiding late payments, minimising credit utilisation, and limiting new credit applications all contribute to a healthier profile. Responsible use of credit, such as managing small, well-maintained accounts and paying on time, can help you build a solid credit history.

“We are actively driving financial inclusion in Namibia through several initiatives,” says Enslin. “One of our key focus areas is supporting micro-finance institutions and products, which help bring affordable financial services to underserved communities. These services often serve as an entry point to credit, allowing individuals to build their credit profiles over time. We’re also working with regulators and policymakers to enhance infrastructure and enable seamless, digital onboarding for consumers.”

Through data and predictive insights, TransUnion aims to expand access to credit and improve financial health for Namibians, supporting inclusive economic growth and long-term stability.

How to Access Your Free Credit Report
To request your annual free credit report, email a copy of your ID to
mailto:SA_Namibia-FreeReport@transunion.com. You will receive a form to complete before the report can be processed.

Alternatively, you can request your credit report in person at: TransUnion Namibia
27J, First Floor, Old Power Station
Southern Industrial, Windhoek
Business hours: 9:00am – 2:30pm

Distributed by African Media Agency (AMA) on behalf of TransUnion.

About TransUnion (NYSE: TRU)
TransUnion is a global information and insights company with over 13,000 associates operating in more than 30 countries, including Botswana, Kenya, Malawi, Namibia, Rwanda, South Africa, eSwatini, and Zambia. We make trust possible by ensuring each person is reliably represented in the marketplace. We do this by providing an actionable view of consumers, stewarded with care.

Through our acquisitions and technology investments we have developed innovative solutions that extend beyond our strong foundation in core credit into areas such as marketing, fraud, risk and advanced analytics. As a result, consumers and businesses can transact with confidence and achieve great things. We call this Information for Good® — and it leads to economic opportunity, great experiences and personal empowerment for millions of people around the world.

For more information visit: www.transunionafrica.com

Media Contact:
Keabetsoe Matshediso
keabetsoe.matshediso@fleishman.co.za

Source : African Media Agency (AMA)

Technology

COVID-19: African Banks Under Pressure to Accelerate Digital Transformation

Maravi Post Reporter
African Banks Under Pressure to Accelerate Digital Transformation

Press Release by TransUnion

Lilongwe. Monday, 24 August 2020 – The spread of the COVID-19 pandemic across Africa has seen a surge in digital payments and e-commerce transactions as financial institutions scramble to offer businesses and consumers contactless ways of spending, borrowing and lending, and making payments.

Cashless solutions like mobile lending and digital payments were already growing rapidly on the continent even before the pandemic struck. Now, we could see a scenario where the effects of COVID-19 on our society will create permanent changes in the way Africans use cards and cash, creating both opportunities and challenges for financial institutions, said Rodgers Lungu, CEO at TransUnion Malawi.

“Even in 2020, millions of people across sub-Saharan Africa still pay their bills and send money each month by drawing cash and physically going to a retailer or a bank to make payment or to receive grant payments. Now, their safety concerns mean they don’t want to make physical payments anymore, which means banks and FinTechs will have to rapidly roll out safer, contact-free payment methods,” said Lungu.

As markets prepare for life beyond the pandemic, digital transformation is becoming a key strategic initiative for financial institutions across both digital and traditional channels. Financial services providers will need to focus on offering payment and lending solutions, and onboarding customers, digitally in a seamless, easy and secure manner.

They are increasingly being supported by economic policy changes from regulators and national banks to further the national digitisation agendas. The Reserve Bank of Malawi has put in place a range of measures, including zero charges on certain types of transfers and contactless point-of-sale transactions, and a three-fold increase from MWK 750,000 to MWK 1,500,000 in the daily limit for individual transfers using mobile money wallets.

As growing numbers of consumers and businesses transact online, one of the biggest obstacles to the mass uptake of digital solutions will be security, says Lungu. TransUnion’s quarterly analysis of global online fraud trends found that the telecommunications, e-commerce and financial services industries have been increasingly targeted by online fraud, with the number of suspected fraudulent digital transactions increasing by 5%  comparing the periods Jan. 1-March 10 and March 11-April 28 (March 11, the mid-date, was the date the World Health Organization (WHO) declared the coronavirus (COVID-19) a global pandemic). TransUnion identified more than 100 million suspected fraudulent transactions globally from March 11-April 28 alone.

This will mean banks and businesses will need to deploy robust identity verification and fraud detection tools to manage their risks and avoid losses at a time when demand for credit is growing. At the same time, they must ensure a smooth customer experience that does not alienate the customer before they have even onboarded.

“Now that even more transactions have shifted online, fraudsters are trying to take advantage and companies must adapt. Lenders and businesses need to know exactly who they are dealing with, and how to protect their genuine customers from fraudulent activities. The businesses that come out on top will be those leveraging fraud prevention tools that provide great detection rates, and providing the ability to open accounts online in an easy, personalised way,” said Lungu.

Rather than asking customers to manually enter their personal information, for example, ID documents can be validated online, and the information used to pre-fill an application. Once ID is established, the next step is effective ID Verification to detect and prevent fraud. Digital transactions carry an increased risk of fraud that businesses need to address through a multi-layered fraud strategy including assessing risk of digital signals like device, email, phone and behaviour.

After ID management and fraud risk and prevention steps are taken, the final steps in a seamless onboarding experience include assessing the consumer’s ability to pay, based on actual or estimated income and credit history.

“COVID-19 has put immense pressure on African financial institutions to transform digitally, and to do this, they will need access to the most comprehensive set of offline and online data assets. Providing a truly seamless onboarding process requires up-to-date data sourced from credible data sources like credit agencies, government agencies, telcos and utility providers. This is where information providers like TransUnion are playing an increasing role in driving digital transformation, access to credit and financial inclusion,” said Lungu.

Continuous sharing of data in the market as a strategy to mitigate against fraud and risk management, will be of great importance too going forward.