OVERVIEW
Countries emerging from prolonged armed conflict are confronted with many challenges, not least of which include ways and means of developing institutions that can lay the foundation for economic development, job creation and social cohesion. One such institution is business. Unfortunately, lack of credit remains one of the biggest hindrances to small and medium enterprise development in fragile and conflict-affected states (FCS). The conditions under which these enterprises operate in FCS negates most conventional brick-and-mortar channels of credit attainment.
KEY FINDINGS
This fact sheet illuminates the ways artificial intelligence (AI) and related technologies can provide other pathways to credit access. It shows how the disruptive technology of AI - leveraged through mobile platforms - can improve the financial health of enterprises in FCS while rewarding loan origination. AI does this by providing opportunities for:
- Credit scoring and predicting the future behavior of credit-seeking enterprises.
- Assessing the utility for credit products.
- Financial management for engaged enterprises.
- Addressing AML (anti-money laundering) risks.