A bold initiative aimed at redefining SME financing in Nigeria has been unveiled by Cascador, a leading entrepreneurial accelerator, in partnership with Sterling Bank. The $2 million Catalytic Fund is set to introduce a revolutionary model for small and medium enterprises (SMEs), blending flexible debt funding with mentorship and dramatically reduced collateral requirements.

The fund is targeted at alumni of Cascador’s accelerator programme, providing low-interest capital with tailored repayment terms and structured around the real-life cash flow of growing ventures.

“This is a breakthrough moment for Cascador and for the entrepreneurs we serve,” said Dave DeLucia, Founder of Cascador. “Through our partnership with Sterling Bank, we’re deploying capital in a way that’s truly catalytic—pairing mentorship and education with access to capital that’s structured around the real-life cash flows of growing businesses.”

Sterling Bank will act as the fund’s custodian and structuring partner. The bank will offer a mix of financial instruments including equipment loans and revenue-based financing, focusing on key sectors such as healthcare, logistics, education, manufacturing, agribusiness, and financial inclusion.

“We’re proud to support purpose-driven entrepreneurs with capital that meets them where they are—flexible, affordable, and designed around the realities of building a business in Nigeria,” said Abubakar Suleiman, Managing Director and CEO of Sterling Bank. “This isn’t just about funding, it’s about creating a new kind of financial support system that prioritises impact over formality and progress over paperwork. We hope the fund presents a new model for capital deployment—one that other institutions and private investors across the continent can adopt to unlock the potential of Africa’s entrepreneurs.”

The funding approach stands apart from traditional lending by emphasising trust, traction, and long-term business viability. Beneficiaries will receive custom repayment plans and benefit from reduced-risk lending, bolstered by a first-loss guarantee from Cascador and expert advisory support.

Applications for the Catalytic Fund opened on 14 February. Finalists will pitch their ventures at an exclusive event on 14 May before an elite investment panel comprising business leaders, faculty advisors, and investment experts. Cascador will allocate both debt and equity funding based on impact and long-term scalability.

Further support for the initiative comes from the Nigeria Sovereign Investment Authority (NSIA) and the Development Bank of Nigeria (DBN), which will sponsor innovation awards for standout ventures at the Pitch Day.

Since its launch in 2019, Cascador has empowered over 60 entrepreneurs who have collectively raised more than $55 million and created thousands of jobs across Africa. The new partnership with Sterling Bank marks a significant milestone in the accelerator’s mission to foster inclusive economic growth.

Entrepreneurs are encouraged to apply for Cascador’s 2025 accelerator programme to gain eligibility for the Catalytic Fund.

Unity Bank Plc has unveiled GenFi, a new gamified digital banking platform created to empower Nigerian children and teenagers aged 8 to 18 with vital financial management skills.

The launch of GenFi is a response to the Central Bank of Nigeria’s report revealing that only 38% of Nigerian adults are financially literate, underscoring the importance of early financial education.

GenFi offers young users tools to manage their money, track income and allowances, set savings goals, and develop smart spending habits—all under parental supervision.

Speaking at the unveiling ceremony in Lagos, the Acting Managing Director and Chief Executive Officer of Unity Bank Plc, Mr Ebenezer Kolawole, described the launch as a strategic innovation within the bank’s retail banking evolution.

“As the Bank continues to evolve, the institution is constantly innovating with technology to enable us drive more financial inclusiveness in different segments of the market,” Mr Kolawole said.

He added that the GenFi concept was inspired by a desire to shape a generation of financially literate youths.

“GenFi is short for Generation Finance, and with this app, the Bank is pioneering solution designed to empower Children, Teenagers, particularly Gen Z and Gen Alpha, with essential financial literacy skills and a Personal Finance Management Solution.

GENFI APP LAUNCH: Mr. Ebenezer Kolawole, Managing Director/CEO (Ag) of Unity Bank Plc (4th from left); flanked by Mr. Wale Ogunride, Zonal Head, Lagos & South West; Mr. Atiku Zubair, Group Head, Operations; Mr. Segun Famoriyo, Group Head, Internal Audit; Mrs. Adenike Ambimbola, Divisional Head, Retail & SME; Mr. Sunny Bakwunye, Treasurer, and Mrs. Patricia Ahunanya, Chief Compliance Officer, and Mr. Agboola Aboyade Cole, Divisional Head, Internal Control, Unity Bank Plc, at the official launch.

GenFi is a market proposition that helps us address a critical knowledge gap among our kids and Teens as it also connects with the strong passion of parents desirous to empower their wards with financial literacy.”

Mrs Adenike Abimbola, Unity Bank’s Divisional Head of Retail and SME Banking, described GenFi as more than a digital banking product.

“Financial literacy is not a luxury. It’s a life skill. And like most life skills, the best time to learn is from childhood. That’s why we created GenFi, not just as a banking app, but as an interactive experience that nurtures discipline, planning, and financial independence from an early age,” she said.

Abimbola highlighted that GenFi uses gamification and behavioural science to make learning about money engaging and effective. Parents can also monitor transactions and reinforce good money habits.

“Imagine a 12-year-old setting a goal to save for a bicycle, not only are they learning to save, but they are also learning patience, discipline, and the value of delayed gratification. That’s the GenFi advantage.”

The launch attracted young students, parents, educators, and tech experts. One student, Master Ajayi Favour of Victoria Island Junior Secondary School, hailed the platform as a transformative tool:

Cross Section of Students at the Launch of GenFi

“GenFi is an innovative banking solution that will equip children and teenagers with financial intelligence, management, and independence,” he said, expressing confidence in the app’s potential global appeal.

School proprietor Sylvia Ezeora also praised the app:

“It is user-friendly, educational, and motivational for children. The app empowers parents to reinforce positive behaviour through rewards for completed tasks and promotes responsibility.”

Parent and guest Genevieve Adindu appreciated the digital shift from traditional savings methods:

“GenFi provides a modern, engaging approach to instilling saving habits early in life, replacing traditional methods like the kolo with a more effective digital tool, thereby becoming a powerful companion for children’s financial education.”

Unity Bank positions GenFi as a benchmark product for youth-focused digital banking in Nigeria, aimed at driving inclusive growth and long-term sustainability in financial education.

The platform is now available to users nationwide, marking a strategic investment in Nigeria’s financial future through early education.

Guaranty Trust Holding Company Plc (GTCO) has sustained its profitability momentum with a pre-tax profit of ₦300.4 billion for the first quarter of 2025, driven by solid growth in core earnings from interest and fee income.

In its unaudited financial statement for the period ended March 31, 2025—filed with both the Nigerian Exchange Group (NGX) and the London Stock Exchange (LSE)—the Group revealed a 41.1% year-on-year increase in interest income and a 41.2% rise in fee income.

This helped cushion the non-recurrence of the ₦331.6 billion fair value gains recorded in Q1 2024.

GTCO’s loan book rose by 15.6% to ₦3.22 trillion from ₦2.79 trillion in December 2024, while deposit liabilities increased by 7.7%, reaching ₦11.2 trillion. The Group’s total assets stood at ₦15.9 trillion, with shareholders’ funds closing at ₦3.0 trillion.

CEO Comment: “Strong and Sustainable Earnings”

Commenting on the results, GTCO Group CEO Mr. Segun Agbaje stated:

“Our Q1 2025 performance reflects the strength of all our business verticals and our capacity to generate strong and sustainable earnings. While the fair value gains of ₦331.6 billion reported in Q1 2024 did not recur this quarter, the Group recorded solid growth across most income lines, underpinned by a diversified revenue base and a healthy, well-structured balance sheet.”

He added:

“We remain optimistic about the year ahead. The fundamentals of our business are strong, our customer base continues to grow, and we are executing with discipline across our strategic priorities. Importantly, at this pace, the Group is well-positioned to deliver the full-year PBT of 2024 at the very minimum by the end of 2025.”

Key Financial Metrics Show Industry-Leading Performance

GTCO posted some of the strongest performance metrics in Nigeria’s financial services sector, including:

Pre-Tax Return on Equity (ROAE): 42.2%

Pre-Tax Return on Assets (ROAA): 7.8%

Full Impact Capital Adequacy Ratio (CAR): 34.6%

Cost to Income Ratio: 29.0%

Asset quality also improved, with IFRS 9 Stage 3 Loans reducing to 3.3% at the bank level and 4.5% at the group level, compared to 3.5% and 5.2% respectively in December 2024. The Cost of Risk (COR) dropped significantly to 0.4% from 4.9%.