Tanzanian fintech Nala secures $40M Series A funding

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Tanzanian funds firm Nala has raised US$40 million in Collection A funding for use for its international enlargement plans and enhancing its cost programs on the continent.

Headquartered in Kenya, Nala is a fintech startup that enables its customers to switch cash from the UK, US, and EU to Kenya, Uganda, Tanzania, Rwanda and Ghana.

The brand new capital injection follows a $10 million seed spherical in 2022 and can improve the reliability of its funds programs to Africa by laying down its cost rails, it stated.

Nala acquired funding from a number of international funding companies corresponding to San Francisco-based VC agency Acrew Capital, DST International and Amplo, in addition to different angel traders.

In a submit on X, Nala Founder and CEO Benjamin Fernandes stated the brand new funding will speed up the corporate’s international ambitions by specializing in increasing its Nala Cash App and constructing its business-to-business (B2B) cost platform Rafiki API.

“It’s going to allow us to transcend remittances and prolong our attain past Africa, constructing a sturdy funds ecosystem. We’re reinvesting this cash to reinforce our infrastructure, guaranteeing dependable, low-cost funds for all,” Fernandes stated.

Nala Founder and CEO Benjamin Fernandes.  (Source: Nala)

Nala Founder and CEO Benjamin Fernandes.
(Supply: Nala)

“With the launch of our personal cost rails and the enlargement of our B2B platform Rafiki, we’re not simply speaking about change – we’re constructing it. We have some daring, bold plans, give us a few years,” he continued.

Nala’s development lately

Fernandes stated that the Collection A funding got here after the corporate’s income elevated tenfold previously 12 months.

“For the primary time, we turned worthwhile and money movement optimistic. Over the previous 20 months, our transaction quantity has elevated 34 occasions,” he defined.

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Moreover, the corporate has grown from simply seven members to almost 100 employees serving almost 500,000 prospects worldwide.

In March 2023, the corporate pledged US$1 million funding to create new jobs in Tanzania in addition to to assist product innovation, after it was granted a Fee Service Supplier (PSP) license to function.

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*Prime picture is of Nala employees at its Kenyan places of work. (Supply: Nala.)

— Matshepo Sehloho, Affiliate Editor, Connecting Africa