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Loan Default Prediction Challenge

🌟 Overview

This project was part of the African Credit Scoring Challenge, aiming to predict loan defaults in Africa’s dynamic financial markets. The objective was to build a robust machine learning model and a scalable credit scoring function to assist financial institutions in mitigating risk and optimising lending decisions.


📊 My Contribution

Key Achievements:

  • F1-score: Achieved a competitive score of 0.71 early in the competition.
  • Imbalanced Data: Addressed class imbalance using SMOTEENN for hybrid resampling.
  • Feature Engineering: Incorporated demographic and economic factors specific to African markets (economic-dataset.csv).
  • Model Optimisation: Fine-tuned for robustness and generalisability.
  • Credit Scoring: Developed a scalable function to classify probabilities into actionable risk categories.

🔑 Technical Highlights

  1. Data Challenges:

    • Managed significant class imbalances with advanced resampling techniques.
    • Ensured generalisability across diverse customer demographics because the train dataset contain only Kenya data, but the test dataset on Zindi can contain other country data like Ghana.
  2. Machine Learning Techniques:

    • Used XGBoost for high-performance classification.
    • Applied SMOTEENN for handling imbalanced data.
  3. Credit Scoring Function:

    • Designed a scalable system to categorise risk levels based on model predictions.
    • Provided actionable insights for financial decision-making.

🚀 Reflection

This project was both challenging and rewarding, demanding a mix of technical expertise and strategic thinking. It highlights my ability to handle real-world data challenges and propose scalable solutions.


🛠️ Tools & Libraries

  • Languages: Python
  • Libraries: Pandas, NumPy, Scikit-learn, XGBoost, Ensemble Learning, Matplotlib, Seaborn

📬 Contact

Feel free to reach out if you'd like to discuss this project or my approach! 😊

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