GCB Bank PLC has launched a new loan product, the Micro Small Enterprises (MSE) Group Loan, aimed at supporting small-scale entrepreneurs, particularly market women. This initiative allows groups of 5 to 10 individuals to access loans at a competitive 3% interest rate.

Executive Head of Retail Banking, Sina Kamagate highlighted that groups applying for the loan benefit from a joint and several undertakings, ensuring members support each other’s repayments.

“We can offer up to GHC200,000 per group, though this doesn’t mean an equal split among members. The loan allocation depends on individual capacities, with amounts ranging between GHC200 and GHC1,000,” he explained.

He further noted that while the bank offers larger financial facilities of up to GHC 500 million, the MSE Group Loan is specifically tailored to micro and small business owners.

He emphasized that the 3% monthly interest rate is one of the lowest available, considering that small businesses drive 83% of Ghana’s economy.

To qualify, applicants only need a Ghana Card to open an account, and daily e-collectors will assess credit turnover to determine loan eligibility.

Nana Yaa Boadu, a fabric dealer from the Ashanti Region, expressed enthusiasm about the loan, stating that its affordability is a relief.

“There are many loans available to us market women, but this one is manageable, looking at the interest rate given,” she said.

Similarly, Nana Ama Nyarko, a palm nut seller from the Kumasi Central Market, applauded the bank’s decision to open a branch at Kejetia Market, making banking more accessible.

“We don’t have time to leave our businesses and stand in long queues at the bank,” she noted.

She also urged fellow traders to repay their loans promptly to sustain both their businesses and the bank.

This initiative reinforces GCB Bank PLC’s commitment to empowering small businesses and driving economic growth in Ghana.