The Head of Strategy and Enablement at Stanbic Bank Ghana, Darwin Mireku, has called for a more responsible and sustainable approach to digital lending, warning that unchecked credit expansion could undermine long-term financial inclusion efforts across Africa.
According to him, while digital lending platforms have significantly improved access to finance for individuals and small businesses, the focus must increasingly shift from simply expanding credit availability to ensuring positive financial outcomes for customers.
Mr Mireku said access to financing remains critical for economic growth and entrepreneurship, particularly in emerging markets where many individuals and businesses remain underserved by traditional financial institutions.
“We all understand the importance of access to financing for economies like ours. However, as the industry evolves, better customer outcomes must become central to what we do instead of simply increasing access to credit,” he stated.
He cautioned that irresponsible lending practices could expose consumers to excessive debt burdens while creating broader risks for the financial system.
Mr Mireku noted that the rapid growth of digital credit services has enabled many consumers to access multiple loans simultaneously, often without adequate assessments of their repayment capacity.
“If situations where individuals hold numerous loans at the same time are not managed responsibly, it eventually translates into debt pressure. Over time, that can create risks not only for customers, but for the wider financial system,” he said.
He observed that Africa’s financial services landscape is undergoing a significant transformation driven by fintech companies, digital lenders and technology-enabled financial platforms that are expanding access to financial products.
According to him, fintech firms have succeeded in creating new markets by serving customer segments that traditional banking models have often struggled to reach efficiently.
“Banks were not always structured to profitably deploy very small loan amounts across large customer groups. What fintechs and digital lenders have done is to create entirely new markets that did not previously exist,” he explained.
Mr Mireku rejected suggestions that fintechs are merely competing with banks for market share, arguing that they are helping to broaden the financial ecosystem by addressing unmet customer needs.
He acknowledged that fintech companies have played an important role in improving customer experiences through simplified onboarding processes, faster service delivery and digital platforms designed around customer lifestyles and preferences.
Despite these developments, he maintained that banks continue to play a critical role in the financial sector due to their strong capital base, regulatory oversight and ability to manage risk.
“When a bank takes on credit risk and things go wrong, the institution must absorb those losses through its capital. That regulatory responsibility and credibility remain very important,” he noted.
Mr Mireku therefore called for stronger collaboration between banks and fintech companies to build a more resilient, innovative and inclusive financial ecosystem.
He said fintech firms bring speed, innovation and customer-centric solutions, while banks contribute financial strength, governance structures, long-term financial products and institutional stability.
“It should not be about who is winning. The objective should be how we collectively build a stronger ecosystem that benefits customers and supports sustainable financial inclusion,” he said.
He further stressed that true financial inclusion goes beyond access to credit and should encompass savings, investments, insurance and other financial products that help individuals build long-term financial security.
Mr Mireku added that partnerships between banks and digital lenders could help customers progress from basic digital financial services into broader formal banking relationships, ultimately strengthening financial resilience and supporting sustainable economic development across Africa.
