Using Artificial Intelligence as a Means of Improving Business Lending in Fragile States

May 05, 2020 in African Security, Business & Governance by Victor Odundo Owuor, Dianna E. Almanza

A Tanzanian woman holds her phone displaying an app project that harness the power of digital tools and data-driven decision making. Photo: Riaz Jahanpour for USAID Tanzania / Digital Development Communications.

Countries emerging from prolonged armed conflict are confronted with many challenges. For these countries, one such challenge is the lack of sustainable credit access for businesses - a key driver for economic development, job creation, and repairing social cohesion. The conditions under which micro, small and medium enterprises operate in fragile states make it difficult to obtain capital through conventional means, but emerging technologies like artificial intelligence (AI) may provide improved avenues for identifying credit worthy businesses

A new fact sheet by Victor Odundo Owuor and Dianna E. Almanza illuminates the ways (AI) and related technologies could be utilized to provide credit scoring, manage finances, access product utility, and address money laundering risks.