Data for Underwriting MSEs in Emerging Markets

FinRegLab is investigating the financial inclusion and consumer protection implications of using new data sources for credit underwriting of micro and small enterprises (MSEs) in Kenya with a particular focus on women-owned small businesses.

This exploration leverages FinRegLab’s five years of working with financial services stakeholders to empirically evaluate alternative financial data to advance responsible and inclusive credit credit access for consumers and small businesses in the United States.

As a follow up to our market context report, FinRegLab is initiating an empirical study of potential non-conventional data sources for credit underwriting in 2024. This initiative will help to generate insights and resources for policymakers and market actors seeking to provide responsible credit and ensure inclusive credit reporting ecosystems. This work will also inform global financial inclusion efforts and open banking policy, and it will contribute to the growing body of research on the use of alternative data and advanced analytics in credit underwriting.