The Growth Investment Partners (GIP) Ghana LTD, an investment platform established by British International Investment (BII) - the UK’s development finance institution and impact investor, has announced its investment in Fido Micro Credit LTD (Fido), a leading digital lender in Ghana.

This investment will support Fido to further enhance financial inclusion, empowering many Ghanaians - particularly the youth and populations that have been traditionally excluded, through Fido’s innovative digital loan model. 

GIP, a Ghanaian investment platform licensed by Ghana’s Security and Exchange Commission, provides long-term, flexible capital, predominantly in local currency, to small and medium-sized enterprises (SMEs). GIP aims to bridge the financing gap for Ghanaian SMEs which are critical to promoting sustainable economic growth.

This investment will empower Fido to further expand its reach to underserved segments of the population, who have limited access to traditional financial services. It is the second successful investment by GIP since its launch in 2023.

Since its inception in 2014, Fido has disbursed over 3 million micro loans to approximately 700,000 customers – primarily low-income workers, micro-businesses, and individual entrepreneurs. With its instant loans, Fido's affordable digital credit fills a vital need for flexible, accessible financing.

The company has a strong focus on promoting financial empowerment. To this end, over 70% of Fido's borrowers earn less than US$150 per month, with 20% living on less than US$2 per day. Additionally, 40% of loans Fido disburses are to female borrowers. Through the Fido app, borrowers access financial tips, guides, and webinars to build their credit profile and qualify for larger loans with better pricing over time.

Fido also has a unique ability to cost-effectively serve customers who may lack traditional credit histories through its proprietary AI-powered credit scoring scheme called the "Fido Score". The system makes real-time loan decisions, using alternative data sources and effectively creates a digital financial track record which helps Fido customers build their credit and grow their finances.

Ghana is seeing booming adoption of mobile money and digital financial services, with over 22 million mobile money accounts and nearly      7 billion in annual transaction volumes, with GHS 18.3 billion held in mobile money wallets. Fintech innovators like Fido are well-positioned to capitalize on this market opportunity to drive greater digital financial inclusion nationwide.

This investment from GIP builds on a previous investment in Ghanaian Business Processing Outsourcing (BPO) Company, E-Services Africa Limited (eSAL), as the platform looks to stimulate growth and development across Ghana's SME sector.

Jacob Kholi, Chief Executive and Investment Officer, GIP Ghana: "Fido is pioneering digital financial inclusion through its innovative, data-driven lending model that efficiently and responsibly serves tens of thousands of unbanked Ghanaians. We are excited to partner with a financial institution that is harnessing technology to unlock economic opportunity for the informal sector and promote sustainable, inclusive growth."

Alon Eitan, Chief Executive Officer, Fido Solutions: "Economic impact is crucial to us at Fido. Our mission is to make financial services accessible, and indeed, for the vast majority of our customers it’s their first interaction with a financial institution. GIP Ghana’s investment support will accelerate our growth and allow us to effectively reach more underserved populations, especially micro businesses,  historically excluded from the formal banking sector, having an even bigger positive impact on the Ghanaian economy. By coupling inclusive financial services with financial educational resources, we are fostering economic opportunity while also strengthening users' financial capabilities and resilience. GIP Ghana's support will be instrumental in amplifying this holistic approach."

Kwabena Asante-Poku, Coverage Director for Ghana, British International Investment: "As the UK’s development finance institution, our goal in establishing GIP Ghana is to support the growth ambitions of businesses in Ghana by providing long-term flexible capital. We are thrilled that GIP Ghana’s second investment will support the growth of Fido, a pioneering fintech company dedicated to expanding financial services to undeserved communities in Ghana.”