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Digital Finance: Driving Financial Inclusion in Africa | Part 2

Digital Finance: Driving Financial Inclusion in Africa | Part 2

In one of our last blogposts, we begin discussing the impact of the global digital lending industry on financial inclusion, based on the example of Africa. In this blog post, we will go more into detail exploring the different variations and business models that fall under the umbrella of Digital Lending.

The Digital Lending Landscape | Sub-Saharan Africa 

The visualization below shows three main lending models: Bank Originated Digital Lending, Balance Sheet Lending and Peer-to-Peer lending. We will explain these models based on their implementation in Africa and discuss how these models are linked to the development stage of the financial system and its African participants.

Source: based on FSI Insights on policy implementation No 27; Regulating fintech financing: digital banks and fintech platforms

Bank Originated Digital Lending entails banks partnering up with mobile service providers or startups to deliver their loans through digital channels. These offerings were the first to come to market, piggybacking off newly emerged mobile money systems and making use of established deposit-taking institutions. The first such lending scheme to emerge in Kenya was M-Shwari, a collaboration between the Commercial Bank of Kenya (CBK) and Safaricom, the provider of the M-Pesa mobile wallet. Bank-based digital lending is among the best-regulated form of digital lending in Africa since banks fall under the jurisdiction of local regulators.

Other players in the Sub-Saharan Digital Lending Ecosystem are Balance Sheet Lenders. They lend out proprietary funds acquired via capital or debt markets. This sector has grown significantly with notable players such as Branch and Tala, two Silicon Valley affiliated companies operating in Emerging Markets across the globe. Unlike banks these lenders do not take deposits and fall out of most of the traditional regulatory framework. These types of lenders have also been bogged down by controversy connected to the often extremely high interest rates that are not always communicated transparently to the borrowers (the Africa Report, 2021), prompting moves towards more regulatory scrutiny.

According to the 2nd Global Alternative Finance Market Benchmarking Report (2021), the global market share of Balance sheet consumer and business Lending in 2020 reached 36% of the estimated alternative finance loan volume, which amounted to more than 40 billion dollars.

Lastly the field of Peer-to-Peer Lending grew to become the dominant alternative lending model in Sub-Saharan Africa, reaching a total volume of 769 million in 2021, up by 50% from the previous year. A good example is Nigeria based Kiakia, which offers consumers both loans and investments. This field is however also quite dominant in the agricultural sphere, with offerings such as thriveagric or farmcrowdy allowing investors to finance the seeding stage which will be paid back with the harvest. In Sub-Saharan Africa P2P lending has become the dominant model in the alternative finance market.

The advantages of P2P lending are far-reaching: it does not only create more financing opportunities but also gives retail investors a good alternative to established asset classes, which are underdeveloped especially in the African context. It also enables to invest directly into the local economy. Most importantly perhaps, digital lending has proven to reach borrower segments that are excluded by traditional banks.

 

Market Share of Alternative lending products in Sub-Saharan Africa 2020 Source: The 2nd Global Alternative Finance Market Benchmarking Report (2021)

 

The advantages of P2P lending are far-reaching: it does not only create more financing opportunities but also gives retail investors a good alternative to established asset classes, which are underdeveloped especially in the African context. It also enables to invest directly into the local economy. Most importantly perhaps, digital lending has proven to reach borrower segments that are excluded by traditional banks.

 

Banking Status of Borrowers from Digital Lending Platforms across Regions (2020)

Source: The 2nd Global Alternative Finance Market Benchmarking Report (2021)

 

Currently relatively unconstrained by regulatory hurdles both balance sheet and peer-to-peer lending have shown double and even triple digit growth over the last few years. There are however still significant hurdles impeding market progress, most importantly a lack of transparency and comparability of the loan originators and the loans themselves. An investor willing to invest a large amount in the sector will invariably run into the problem that it is very difficult to assess the creditworthiness of companies and debtors from the outside. Furthermore, the availability of capital across lenders, but in particular in P2P lending, remains very limited. Nigerian lenders for example are currently only able to fund around 10% of eligible loans due to a lack of available funding. In 2020, the reported institutionalization rate on lending platforms stands at merely 30%. Although this is an increase compared to only 21% in 2019, bringing in cheaper money will likely be essential for sustainable growth.

 

Funding Source in Digital Lending in Sub-Saharan Africa 2020

Source: The 2nd Global Alternative Finance Market Benchmarking Report (2021)

 

In conclusion, new business models in digital lending hold great promise, especially in Africa, to improve financial inclusion. There are however still significant hurdles that need to be overcome before its full potential can be fulfilled.

At Exaloan we believe in the transformational power of technology to close the global financing gap. By providing a marketplace to connect Lending Platforms with Institutional Investors we aim to accelerate the transformation of the global financial lending markets toward more equitable and fair lending across the world – Including Africa.

 

 

 

If you want to find out more about our ecosystem, please reach out to us.

We look forward to working with you!

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Digital Finance: Driving Financial Inclusion in Africa

Digital Finance: Driving Financial Inclusion in Africa

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How digital Lending reaches previously underserved populations

Getting an overview over the fintech digital lending landscape can seem daunting and confusing, so we would like to use this blogpost to give an overview over the industry and how it has progressed in recent years based on its development in Africa.

 

 

Traditional lending by banks comes with high barriers for entry that has historically excluded large parts of the population. This is especially true in Africa, where for the longest time most people did not even have a bank account to deposit and transfer money. As the graph below shows, most countries in sub-Saharan countries had financial inclusion rates of less than 50% in 2011.

 

2011: Account ownership at a financial institution or with a mobile-money-service provider (% of population ages 15+)

 

Source: Demirguc-Kunt et al., 2018, Global Financial Inclusion Database, World Bank, last accessed: 6/17/2021, own visualization

\Note: the following countries have been excluded from the original visualization: Angola, Comoros, Djibouti, Burundi, and Sudan

 

Without formal employment or address and a credit history, traditional financial institutions are unwilling and unable to provide individuals or their informal businesses with credit. In developing economies, the first alternative lending models in the shape of microfinance institutions emerged in the 1970s. These institutions typically had a local focus and aimed to establish community-based lending behavior, that although it minimized default rates, was both high in costs and maintenance, and hardly scalable. As a result, thereof, large parts of the wider population in many countries remaining unbanked and without access to credit.

 

This only began to change with the emergence of mobile phone technologies in the 2010s. In the space of a few years the financial inclusion rate more than doubled in sub-Saharan Africa (Mastercard, 2020). With the introduction of M-Pesa in Kenya people suddenly had access to mobile wallets, first to send and receive money, but soon also to borrow. This development was not only limited to Africa: globally 1.2 billion adults have obtained an account since 2011, including 515 million since 2014. Between 2014 and 2017, the share of adults who have an account with a financial institution or through a mobile money service rose globally from 62% to 69%. In developing economies, the share rose from 54% to 63%. As the graph below shows, a large part of this growth was driven by mobile accounts, which grew disproportionately from 2014 to 2017 in many African countries.

 

Annualized growth of account ownership by type (% population age 15+) 

Source: Demirguc-Kunt et al., 2018, Global Financial Inclusion Database, World Bank, last accessed: 6/17/2021, own visualization

Note: the following countries have been excluded from the original visualization: Angola, Comoros, Djibouti, Burundi, and Sudan

New companies sprang up to capitalize on this growing trend, using data collected by users’ mobile phones to calculate default probabilities. Consumers previously excluded from accessing capital had the ability to quickly borrow money in emergencies or to fund and grow their businesses. The visualization below breaks down the regional allocation of mobile money accounts as a percentage of all accounts in 2017. One of the main drivers in Sub-Saharan Africa has been Kenya, which is also the first country to propose specific legislation to regulate Digital Lending companies.

2017: Account ownership at a financial institution or with a mobile-money-service provider (% of population ages 15+)
 

 

Source: Demirguc-Kunt et al., 2018, Global Financial Inclusion Database, World Bank, last accessed: 6/17/2021, own visualization

Note: the following countries have been excluded from the original visualization: Angola, Comoros, Djibouti, Burundi, and Sudan

 

Digital Lending as described above includes a host of different types of companies and business models. However, all share one common hurdle. Digital lending processes ultimately require digital funding processes to bring that market to scale, and many platforms lack the appropriate funding sources to fulfil the demand for credit. This is where Exaloan comes in by standardizing and automating digital funding processes for institutional investors and digital lending partners. If you are interested to know more, send us an email at info@exaloan.com and request a meeting or a demo.

If you want to find out more about our ecosystem, please reach out to us.

We look forward to working with you!

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Chief Financial Officer

Chief Financial Officer

Financial Service Technology Company in Frankfurt, Germany 

Who Are We?

We are Exaloan, a financial services technology company. We provide institutional investors with cutting-edge tools to invest globally in digital loans. We operate at the intersection of asset management, software development, and advanced analytics with the ambition to drive innovation in one of the fastest growing FinTech sectors. And we are unstoppable to reach our goals.

Who Are We Looking For?

You are open minded, self-driven and an expert in your field. You are eager to work in the Fintech industry and want to join our team and contribute to the growth of the company. You work independently and like to take on responsibility and your own projects.

Your Role

  • You will be working directly with the founding partners of industry experts with more than 100 years of combined experience across the fields that are at the heart of what we do: capital markets, portfolio management, banking law, software engineering and machine learning.
  • You will be directing and overseeing all aspects of the Finance and Accounting matters of the company.
  • You will be responsible for building up the financial controlling base of the company as well as taking care of the taxation, fees etc.
  • You will be identifying and participating in the funding opportunities including reaching out to banks, Venture Capitals etc.
  • You will also be responsible for keeping an eye on the future financial health of the company, forecasting costs of different projects, the capital needed for the upcoming months etc.

Your Profile

  • Ideally >5 years of experience in a similar position.
  • A bachelor’s degree in the field of Business Administration, Finance or adjacent areas is a must; a master’s degree would be an advantage.
  • Strong interpersonal and communication skills and being able to manage well at all levels of the organisation.
  • Strong creative and strategic thinking, problem solving and being able to analyse and make decisions in a limited amount of time.
  • High level of integrity and independency with a strong sense of urgency and results oriented.
  • Fluent English is mandatory; Fluent German is a plus.

What We Offer

  • Flexible working schedule.
  • Professional and experienced team.
  • International environment and network.
  • Central office in the heart of Frankfurt.
  • Direct involvement and participation in the entire trajectory of the firm.
  • The possibility to grow and scale your role along the growth of Exaloan.
We hire for talent; hence you will be able to develop your role according to your personal goals and position yourself where you can make the biggest impact and contribution.

 

If you think you are a good fit for our team, send your application now!

Apply for this role


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    Business Developer Asset Management

    Business Developer Asset Management

    Financial Service Technology Company in Frankfurt, Germany 

    Who Are We?

    We are Exaloan, a financial services technology company. We provide institutional investors with cutting-edge tools to invest globally in digital loans. We operate at the intersection of asset management, software development, and advanced analytics with the ambition to drive innovation in one of the fastest growing FinTech sectors. And we are unstoppable to reach our goals.

    Who Are We Looking For?

    You are open minded, self-driven and an expert in your field. You are eager to work in the Fintech industry and want to join our team and contribute to the growth of the company. You work independently and like to take the lead on responsibility and your own projects.

    Your Role

    • You will be working directly with the founding partners of industry experts with more than 100 years of combined experience across the fields that are at the heart of what we do: capital markets, portfolio management, banking law, software engineering and machine learning.
    • You will be responsible for cultivating and maintaining relationships with Institutional Investors.
    • Continuous talks and communication with Asset Management firms, Pension Funds will be part of your regular schedule.
    • You are actively present, build relationships, and sell our product to potential clients.
    • You expand and leverage our network adequately.
    • You communicate clearly, with purpose and emotion to build a genuine connection with prospects and clients.

    Your Profile

    • Ideally > 5 years of experience in a similar sales position.
    • A bachelor’s degree in the field of Business Administration, Finance or adjacent areas is a must; a master’s degree would be an advantage.
    • Strong knowledge in financial markets, credit and/or insurance business is required.
    • Previous experience working as part of a team to develop the company’s customer base and provide a first-class experience to clients, preferably within the financial market.
    • Fluent English is mandatory; Fluent German is a plus.

    What We Offer

    • Flexible working schedule.
    • Professional and experienced team.
    • International environment and network.
    • Central office in the heart of Frankfurt.
    • Direct involvement and participation in the entire trajectory of the firm.
    • The possibility to grow and scale your role along the growth of Exaloan.
    We hire for talent; hence you will be able to develop your role according to your personal goals and position yourself where you can make the biggest impact and contribution.

     

    If you think you are a good fit for our team, send your application now!

    Apply for this role


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      Sharia-Compliant Digital Lending

      Sharia-Compliant Digital Lending

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      With global mobility down and no prospects for physical experiences in foreign lands insight, we are taking a virtual trip towards the Global Middle East! Towards Islamic credit markets, and towards yet another exciting opportunity in digital lending!

      A Brief Introduction to Sharia-Finance:

      Islamic finance refers to how businesses and individuals raise capital in accordance with Sharia-law, a set of rules that comply with the Quran, the Sacred Scripture of the Muslim community. Key concepts include the avoidance of riba (usury) and gharar (ambiguity or deception). Money is seen as a representation of value, not an asset in itself, leading to the saying’ money cannot make money.

      Therefore, simply lending capital with interest (and therefore for profit) is considered riba – and prohibited under Islamic law.

      The concept of risk-sharing must be considered when raising capital in accordance with Sharia law. The Sharia-compliant product uses a bank fee rather than an interest payment structure while keeping product features very similar. Lending activities must happen within a banking framework in which the financial institution shares in the profit and loss of the loan it underwrites. To comply with the risk-sharing approach of Sharia-compliant lending, the Islamic bank may pool investors’ money and assume a share of the profits and losses.

      Why Sharia-compliant Digital Lending?

      As the Islamic Finance Marketing Experiment 2020 found, consumer preferences for Sharia-compliant lending products over conventional products are relatively un-elastic when it comes to religious borrowers. In a randomized experiment in Jordan, the researchers found that Sharia-compliance increased the application rate for loans from 18% to 22%, which equates to a 10% decrease in interest rates.

      *Source: Islamic Finance Marketing Experiment 2020

      These barriers add to the intrinsic dislike of conventional loans for religious borrowers. The findings suggest that religious considerations are partially responsible for the low utilization rate of household credit in developing countries with a large Muslim-population. High lending rates, an exclusive attitude, complicated procedures, and bureaucratic policies of traditional FIs are common obstacles reported by (M)SME when getting a loan. Muslim-majority countries have a 24% lower participation rate in active borrowing from banks (10.5% versus 7.9%) and a 29% lower rate of having a bank account (40.2% versus 28.6%).

      Sharia-compliant digital lending products could not only lower access barriers to Islamic finance, but they could also contribute to mitigating the region’s financing gap, which sits at $335bn for South Asia and $186bn for the Middle East. Digitization could also propel Islamic finance’s growth in general, which is experiencing moderate to sluggish growth (1-2% in the next 2-3 years, S&P Moodys 2020).

      Global investments in Islamic economy-relevant companies are already rising. In 2020, VC and other direct investments amounted to 11.8 billion dollars (Dinar Standard , 2019). Almost half of the investment volume, namely, USD 4.9bn, is invested in Islamic Fintech, highlighting the objective of putting technology-enabled finance to use to mitigate the historical slagging growth of Islamic Finance in MEASA.

      Notably, the UK accounts for the most registered Islamic Fintech Firms with 27, followed by Malaysia, the UAE, and Indonesia (IFN Islamic Fintechs, 2021). A growing number of more than 120 Islamic fintech firms already offer Sharia-compliant financial products, many of them in the form of digital loans. Examples of Sharia-compliant digital lending platform include MicroLeaP (Malaysia), Dana Syriah (Indonesia), Nusa Kapital (Malaysia)…

      Tradition meets Innovation: The Opportunity

      According to Dubai International Financial Center (DIFC), Sharia-compliant assets currently represent 25% of banking assets in the Gulf Council Countries (GCC) and 14% of total banking assets in MEASA. Globally, Sharia-compliant AuM are expected to reach $3.8 trillion by 2023, almost doubling their 2020 volume of $2 trillion and growing at a CAGR of 10-12%.

      The S&P Islamic Finance Outlook 2020 emphasized the need for inclusive standardization by relevant authorities and stakeholders to sped up Islamic finance advancement. It also hints at the role of Fintechs for supplying the necessary innovations with regards to products and technological infrastructure and for achieving a financial landscape that aligned with ESG objectives.

      While market growth remains paced, it is gaining traction: Sharia-compliant digital lending operators in Indonesia have already doubled their Assets under Management between October 2019 and October 2020 (OJK, 2020). As recently as February 2021, the Bank Syariah Indonesia (BSI) was established after consolidating three state-owned banks. BSI has a net worth of $1.4 billion and works on the efficient integration of the three forming banks: Bank BRI Syariah, Bank Syariah Mandiri, and Bank BNI Syariah. The BSI shall allow platforms to better access credit scoring, e-KYC, and digital signature services. It will also integrate customer data from the forming three banks to help fintech companies partnering with BSI to offer services to its customers.

      The digital lending market volume in the Middle East (MEA) has recently experienced impressive three-digit annual growth rates with complementing investments in several Arab lending platforms. Excluding Israel from the Middle East region, it is found that 95% of this digital lending volume stems from Debt-based instruments, roughly 5% from equity-based models, and 0.18% from non-investment models such as Waqf (donation)-based crowdlending (CCAF, 2019).

      The biggest Sharia-compliant platform for SME lending in gulf countries is beehive, with approximately $170m in facilitated loans in 2020 (as of spring 2021). The platform recently partnered with government entities to roll-out a digital financing platform for micro and small Saudi Arabia enterprises. Across the UAE region, retail investors account for the dominant share of digital loan investments, with 90% against 10% institutional investors.

      Another underlying driver is that since 2017, Islam is the fastest-growing religion in the world. It is already the second-largest religion after Christianity, and by 2025, approximately 30% of the global population will be Muslims. Sharia-compliant lending platforms are not only rolling-out products that their customers desire. They are entering an underserved growth market, while also captivating the general socially responsible investors and borrowers due to an emphasis on fair and equitable treatment of counterparties in the financing agreements.

      We at Exaloan are excited to see where the market is headed! If you are interested in country-specific details, please contact research@exaloan.com.

       

      Further Read / Interesting sources:

      If you want to find out more about our ecosystem, please reach out to us.

      We look forward to working with you!

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      Junior Process Manager Intern / Working Student

      Junior Process Manager Intern / Working Student

      Financial Service Technology Company in Frankfurt, Germany 

      Who Are We?

      We are Exaloan, a financial services technology company. We provide institutional investors with cutting-edge tools to invest globally in digital loans. We operate at the intersection of asset management, software development, and advanced analytics with the ambition to drive innovation in one of the fastest growing FinTech sectors. And we are unstoppable to reach our goals.

      Who Are We Looking For?

      You identify as a self-starter with an entrepreneurial spirit, a curious, creative mind, and a profound understanding of (or deep interest in) process development, agile work, and organizational design. You are eager to work in the Fintech industry and want to join our team and contribute to the growth of the company. You work independently and like to take on responsibility and your own projects.

       

      Your Role

      You will be working directly with the founding partners of industry experts across the fields that are at the heart of what we do: capital markets, portfolio management, banking law, software engineering, and machine learning. You will be a full member of our team from day one. You will work directly with our COO on projects to build our corporate structure and implement processes with the team.

       

      Depending on your interest and skillset your activities could entail the following fields:

      • Organizational and process development, e.g. Project management to implement agile tools and techniques, conducting workshops and training with the team, building our training and knowledge hub on our intranet
      • Develop controlling tools for the financial steering and forecasting of the company
      • Preparing and Coordinating startup program and award applications
      • Supporting HR and recruiting-related tasks, e.g. developing the employer brand, coordinating and conducting job interviews, and guiding new employees in their onboarding
      • Supporting marketing activities via social media and product-related platforms

      Your Profile

      • We are open about you being enrolled in a BSc. or an MSc. Program and will arrange schedules together with you according to your classes.
      • Your studies and/or experience focus on any of these or adjacent fields: general management, business administration, process and project management.
      • You identify as a self-starter with an entrepreneurial spirit, a curious, creative mind and a profound understanding of (or deep interest in) process development, agile work and organizational design. 
      • To work effectively in our team, you should be familiar with project management and agile techniques. Fundamentals in tools such as Jira and Sharepoint/O365 Suite will be a good basis for your work. Some interest in and if you have had some exposure to software development and/or capital and financial markets in the past will be helpful working with us.
      • Being an international team from many different countries we like to see you be confident speaking in English, German would be a plus. 

      What We Offer

      • Flexible working schedule.
      • Professional and experienced team.
      • International environment and network.
      • Central office in the heart of Frankfurt.
      • Direct involvement in the entire trajectory of the firm.
      • A steep learning curve.
      We hire for talent; hence you will be able to develop your role according to your personal goals and position yourself where you can make the biggest impact and contribution.

       

      If you think you are a good fit for our team, send your application now!

      Apply for this role


        Full Name *


        Email *


        Phone number


        .


        What are you interested to contribute to Exaloan? *


        Documents

        * Please submit CV/Resume and Cover letter in English

        Resume/CV *


        Cover letter *


        Other documents


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        .

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        Credit Rating Agencies in Digital Lending

        Credit Rating Agencies in Digital Lending

        One of the fundamental issues for investing in digital lending stems from a lack of standardization and transparency in the market. Fragmented into hundreds of lending platforms, with equally many rating methodologies and rates, comparability among investment opportunities is a nightmare. Furthermore, lending platforms typically act as loan originators, brokers, and rating agencies at the same time. It’s an encompassing business model that has enabled digital lending to scale up rapidly, but it also creates an array of problems:

        Crooked incentives

        Agency problems root in the fact, that digital lending platforms benefit from scaling loan originating. A recurring feature of the digital lending market as of now is an excess demand for credit compared to available financing volumes . A common problem with platform business is balancing two sides of one coin: in this case supply of financing with demand for credit. With credit being a function of capital available, the incentive to jack up interest rates to attract and retain investors is imminent.

        In the long-run, the resulting problems are various: painful interest obligations for borrowers, adverse selection of the crowd, the threat of sliding into bad credit segments, a weakened competitive position, and high risks for the lending platform’s longevity.  

        In traditional fixed income markets, agency problems are mitigated by having not the originator, but an independent rating agency assesses the creditworthiness of the borrower.

        So much for (resolving) agency problems.

        Intransparency

        Another problem is information asymmetries. Who’s to say the credit score assigned to the loans is trustworthy? One might argue, that if platform A’s rating cannot be trusted, one can always pivot to platform B. Bad for platform A. And a cumbersome and annoying process for the investor. And then again, how will she compare her investment opportunities if each platform has a unique rating scale and methodology to assess risk? How is she going to decide? Trial and Error? Seems unsustainable.

        The lack of transparency, comparability, and standards in digital lending represents an enormous hurdle for investors. It also puts a ceiling on the industry as a whole with respect to cross-platform investments, scalability, and further institutionalization. Without a unified credit score, the comparability of investment quality across platforms is a nightmare. The problem is only amplified regarding investments across markets.

        In traditional fixed income markets, these information asymmetries between borrowers and investors are mitigated by independent rating agencies. In an independent assessment, a unified score is derived that enables the investor to compare and select amongst various investment opportunities. The rating assigned thereby shows an agency’s level of confidence that the borrower will meet its debt obligations as previously agreed. Some risk and uncertainty always remain, and investors are obliged to trust the agency and the results of its assessment. But having a third-party validator is best practice. Most of all it is helpful in creating more liquidity.

        So much for (resolving) information asymmetries.

        Why don’t we have an independent rating agency in digital lending?

        A rating agency in the digital lending market must score millions of individual loans based on a unified methodology that can be applied to the entire ecosystem in real time. Quite frankly, it may seem unnecessary given that most platforms already have tested and trustworthy credit risk assessment processes in place. However, for the sake of scalability and institutionalization, it will be necessary. And it must come from an independent party.

        It’s number crunching at scale. It requires massive amounts of qualifiable data. But the beauty of this new lending era lies in being digital. Which means, the underlying processes are automatable, and which means the ecosystem is highly scalable.

        Introducing Loansweeper

        We have developed software, that derives a standardized and platform-agnostic credit score in real-time, enabling investors to get a transparent and comparable risk assessment on investment opportunities in digital lending. From an independent third party. And all in on hand on our global B2B marketplace across numerous lending partners.  

        We developed our software because digital lending will fundamentally disrupt the global credit markets. It is already happening with regards to the loan application and assessment process. However, to open this market to institutional investors, we built the necessary technology to not only digitize, but standardize the funding process in digital lending.

        If you want to learn more about how we can provide you with one interface to the source, score, and ultimately fund millions of individual loans across markets, reach out to us.

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        Exaloan Participates in Cisco’s Global Problem Solver Challenge 2021

        Exaloan Participates in Cisco's Global Problem Solver Challenge 2021

        2020 has been a tough year for everyone with many challenges that we were not prepared for. Despite all the difficulties, Exaloan managed to continue working, running its operations smoothly and achieving great things. In 2021, we aspire higher.

         

        It is our pleasure to announce our participation in Cisco’s Global Problem Solver Challenge 2021 as a great way to kick off the year. What is the challenge about? At Cisco they aspire to identify and empower early-stage innovative technology solution providers to solve huge social and environmental problems. They aim for solutions that are not just going to make these problems disappear but will also stay persistent in our increasingly digital economy. Cisco truly believes that good ideas put in practice with digital technologies that bring together many devices and a bunch of data, always have the potential to make the difference.

        With this support and cooperation, we would be able to extend and foster our outreach to even more regions where under-baking and a lack of financial inclusion hampers local economy and potential for individuals.

         

        We have applied for the main challenges as well as for the digital inclusivity challenge and we are looking forward to having the first results in March of this year.

         

        Check out our application video to see how we want to solve a global problem and close the global funding gap.

         

         

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        Full Time Data Engineer

        Full Time Data Engineer

        Financial Service Technology Company in Frankfurt, Germany 

        Who Are We?

        We are Exaloan, a financial services technology company. We provide institutional investors with cutting-edge tools to invest globally in digital loans. We operate at the intersection of asset management, software development, and advanced analytics with the ambition to drive innovation in one of the fastest growing FinTech sectors. And we are unstoppable to reach our goals.

        Who Are We Looking For?

        We are looking for a savvy Data Engineer to join our analytics team. You are open minded, self-driven and an expert in your field. You are eager to work in the Fintech industry and want to join our team and contribute to the growth of the company. You work independently and like to take on responsibility and your own projects.

        Your Role

        • You will be working directly with the founding partners of industry experts with more than 100 years of combined experience across the fields that are at the heart of what we do: capital markets, portfolio management, banking law, software engineering and machine learning.
        • You will be a full member of our Software Development team from day one.
        • You will be in charge of your own projects.
        • You design and maintain aspects of our data center.
        • You collect large and complex data sets according to the business requirements. 
        • You consolidate, prepare and stage data for further processing and improve data reliability, efficiency and quality
        • You help define, develop and maintain our data infrastructure and automate and optimize data pipelines

        Your Profile

        • You have a Bachelor or Master’s degree preferably in the field of Computer Science, Applied math or Information technology ideally with a focus on Data Engineering.
        • You already have some practical work experience in a relevant field, ideally 3-5 years
        • Excellent English language skills are essential.
        • You identify as a self-starter with an entrepreneurial spirit, a curious, creative mind and a profound understanding of (or deep interest in) capital markets, data science and/or quantitative analytics.
        • You are dedicated and familiarize yourself quickly and comprehensively with new topics while also being able to prioritize and achieve objectives.
        • To work effectively in our team, you should be familiar with Python, Node.js, and ideally NoSQL Databases. Essentials in Machine Learning and Big Data Applications such as h2O, Apache Spark or similar, are your daily business.
        • You have a very good knowledge of MS-Office applications.

        What We Offer

        • Flexible working schedule.
        • Professional and experienced team.
        • International environment and network.
        • Central office in the heart of Frankfurt.
        • Direct involvement in the entire trajectory of the firm.
        • A steep learning curve.
        We hire for talent; hence you will be able to develop your role according to your personal goals and position yourself where you can make the biggest impact and contribution.

         

        If you think you are a good fit for our team, send your application now!

        Apply for this role


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          Categories
          News

          Credit platforms and their key role in the context of global funding bottlenecks

          Back in October, Exaloan became a member of the Association of German Lending Platforms, representing digital debt financing in this association. Earlier this month, we featured an article on their quarterly briefing where our CEO and co-founder, Luca Frignani together with our Business Developer for SouthEast Asia, Katharina Lentge, talked about the role of credit platforms in closing the Global Financing Gap.

          Credit platforms and their key role in the context of global funding bottlenecks

           

          Even before the pandemic, access to finance was considered one of the biggest growth hurdles for companies, especially in developing countries. Around half of all companies worldwide have no access to credit products. As a result, every year there is a shortfall of around $ 5.2 trillion in funding that investors could raise. In the coming months, this problem will increase further due to the difficult physical access to financial institutions and recessive tendencies. Financial inclusion as a development goal includes the responsibility to make affordable financial services available to the players in our economy according to their needs. Innovation in the form of digital marketplaces represents an opportunity to fulfil this responsibility and to close the structural gaps in our financial systems. By digitizing the credit process, credit platforms are significantly simplifying access to capital for borrowers and opening up new markets for investors. The allocation of financial resources can also be managed effectively through data-driven risk assessment and sensibly through the promotion of certain market segments…

          To read the full article, please visit the Verband deutscher Kreditplattformen‘s website.

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