MFI Streamlines Loan Portfolio and Mobile Money Reconciliation

The Challenge: High Volume, High Complexity

A large Microfinance Institution (MFI) with a vast network of agents was facing critical operational challenges. Their manual processes for reconciling loan repayments and mobile money transactions were inefficient and error-prone. The sheer volume of small-value transactions from thousands of agents made manual tracking a monumental task. This resulted in a lengthy month-end closing process that took up to 10 days, delaying financial reporting and hindering strategic decision-making.

The Solution: Targeted Automation for Core MFI Processes

The MFI partnered with Reconwizz to implement a targeted automation solution focused on their most critical and time-consuming reconciliation tasks. We deployed our platform to provide a centralized and efficient way to manage their unique financial workflows.

• Loan Portfolio Reconciliation: Automated the matching of loan repayment schedules against actual collections from the agent network, providing a clear and accurate view of the entire portfolio.
• Mobile Money Reconciliation: Integrated directly with mobile money provider statements to automate the reconciliation of all incoming and outgoing payments, ensuring every transaction was accounted for.
• Agent Network Settlement: Streamlined the process of reconciling and settling accounts with their extensive network of agents, ensuring timely and accurate commission payouts.
• Automated Reporting: Configured automated reports for daily cash positions, outstanding loan balances, and agent performance, providing management with timely insights.

By focusing on these core areas, Reconwizz helped the MFI eliminate manual bottlenecks, improve data accuracy, and gain a new level of control over its distributed operations.