Advans Ghana launches new overdraft facility to strengthen MSME liquidity
Advans Ghana Savings and Loans has introduced a new overdraft facility aimed at giving micro, small and medium-sized enterprises faster access to short-term working capital at a time when cashflow volatility is disrupting business operations across the country. The product, unveiled at Fiesta Royale Hotel in Accra, is designed to close a long-standing liquidity gap that has forced many small firms to delay shipments, miss discounted stock opportunities, or fall behind on urgent obligations.
The overdraft is being piloted in four branches; Okaishie, Kaneshie, Koforidua and Romanhill in Kumasi and is open to existing Advans clients, new customers, and even businesses banking elsewhere provided they can present verifiable financial records. It forms part of the institution’s strategy to widen flexible short-term credit options for SMEs facing seasonal spikes, operational shocks and sudden market opportunities that cannot wait for traditional loan approval timelines.
Managing Director Guillaume Valence said the product was shaped by extensive client engagements across the country. He noted that while long-term loans enable expansion, the real pressure point for many MSMEs is the ability to respond instantly when cashflow tightens. He explained that the overdraft gives entrepreneurs the agility to secure stock, clear containers, or meet unexpected expenses without draining their working capital. Valence added that Advans’ people-centred approach, supported by more than 700 staff and over 300 relationship officers, allows the institution to understand the daily financial pressures SMEs face. He stressed that the facility includes strict monitoring and a return-to-zero policy to prevent long-term indebtedness, underscoring the institution’s commitment to responsible lending.
The product was developed alongside GIZ, the German development agency, which has supported the creation of SME-focused financial solutions in Ghana since 2024. GIZ’s Component Manager, Cynthia Odonkor, said the overdraft tackles one of the biggest constraints to small business survival: timely access to working capital. She noted that even a brief cashflow interruption can destabilise a growing business and argued that the facility’s flexibility and speed make it especially relevant for today’s volatile operating environment. She also highlighted the importance of integrating safeguards that protect customers while enabling continuity.
Advans Ghana’s Chief Sales and Development Officer, Barbara Odei, said the institution now serves more than 146,000 customers through 21 physical branches and digital platforms, with a lending portfolio exceeding GH¢540 million. She emphasized that 61% of the institution’s loans currently support women entrepreneurs, and the new overdraft is expected to widen financial access for even more women-led businesses. She described the launch as another milestone in Advans’ broader mission to stand as a reliable partner to Ghana’s SME sector.
The event brought together traders, importers, manufacturers, agribusiness operators, logistics firms, service providers, technology start-ups, and various SME associations, demonstrating broad interest across industries. Financial sector representatives, development partners and business chambers also attended to assess how the facility might fit into their networks.
The overdraft facility is the latest addition to Advans Ghana’s expanding SME product portfolio, which includes term loans, working capital loans and a recently launched spot loan for urgent short-term needs. It arrives at a time when fluctuating costs, exchange rate volatility and seasonal business cycles continue to stretch SME liquidity. Advans expects gradual uptake among current borrowers and increasing interest from businesses seeking alternatives to traditional bank credit.
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