Loma Bank expands digital finance access for SMEs

Loma Bank has launched embedded finance infrastructure for over 11,000 entrepreneurs and small businesses in Nigeria through a partnership with Liberty Hub. The collaboration integrates digital banking services—including accounts, payments, loans, insurance, and payment cards—directly into Liberty Hub’s cooperative-driven platform, eliminating barriers like documentation and credit history that often exclude informal businesses from traditional banking. Liberty Hub operates a cooperative ecosystem supporting entrepreneurs with funding, technology, training, and market access. Many of its members struggle with financial exclusion due to lack of collateral or credit history, making embedded finance a critical solution. Loma Bank’s digital-first approach aligns with Liberty Hub’s cooperative model, enabling scalable financial services while managing credit risks efficiently. The partnership offers faster loan approvals, lower interest rates, and seamless access to financial tools through Liberty Hub’s platform. Chief Operating Officer Ayomide Olupitan stated the initiative aims to build financial identities for entrepreneurs, helping them scale operations sustainably. ‘This is about creating financial identity and improving access to opportunity,’ he said, emphasizing the broader impact beyond conventional banking. Liberty Hub’s Managing Director Perk Elijah highlighted the collaboration as a response to structural barriers in Nigeria’s informal economy. ‘Many subscribers run viable businesses but are excluded from formal banking,’ he explained, noting that Loma Bank’s risk-based lending model complements Liberty Hub’s cooperative framework. The integration is expected to deepen financial inclusion by leveraging existing digital ecosystems with real economic activity. For Loma Bank, the partnership provides access to a growing network of verified SMEs and cooperatives, reinforcing its mission to expand financial inclusion through embedded banking technology. Both organizations emphasize the need to address gaps in credit and financial access, ensuring entrepreneurs can grow without relying on traditional banking processes.