Africa’s Credit Gap: Closing It With Homegrown Solutions

Finally, the series concludes with a discussion on risk appetite, presenting it as the operating system that aligns strategy, execution, and governance, to ensure responsible growth across the portfolio.

This is the fourth article of the 5-part Credit Risk Management in SME and Corporate Lending series. Building on capital insights, we explore RAROC as a critical metric to evaluate whether deals truly create value, helping lenders separate merely “safe” lending from genuinely profitable and sustainable lending strategies.