The Tanzanian fintech startup NALA is on a sharp rise, securing a staggering $40 million in its Series A funding round.

Led by the San Francisco-based venture capital firm Acrew Capital, this oversubscribed round underscores the immense investor confidence in NALA’s vision to reshape financial services across Africa and beyond.

DST Global, a leading technology investment group, along with prominent angel investors Ryan King and Vlad Tenev (co-founder of Robinhood), also participated in the round, further solidifying NALA’s potential.

From Humble Beginnings to Pan-African Powerhouse

NALA’s journey began with a simple yet powerful objective: providing affordable money transfer solutions within Tanzania. Since its inception, the company has expanded its footprint remarkably, emerging as a dominant player in the African remittance space.

NALA’s user-friendly mobile app empowers individuals to send and receive money seamlessly across 249 banks and 26 mobile money services in a remarkable 11 African markets.

A noteworthy example of their innovative approach is their integration with Kenya’s widely used M-Pesa platform. This collaboration allows users to pay local bills directly into mobile wallets, making use of existing infrastructure for maximum convenience.

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Beyond Consumer Services: The Launch of the Rafiki B2B Platform

NALA’s ambitions extend far beyond catering to individual consumers. They marked a significant milestone in March 2024 with the launch of Rafiki, a pioneering B2B payments platform.

Rafiki directly integrates with banks and mobile money providers, tackling common challenges in the remittance space. This innovative platform empowers global businesses to trade more effectively with Africa by facilitating seamless cross-border payments.

By addressing reliability issues and streamlining processes, Rafiki is positioned to become a game-changer for international trade.

Building the Payment Rails of the Future: NALA’s Global Aspirations

The newly acquired $40 million in funding will serve as a launchpad for NALA’s global aspirations. Their strategic plan focuses on two key areas:

Expanding NALA’s Consumer Business Beyond Africa

Recognising the needs of the huge African diaspora community scattered worldwide, NALA plans to expand its consumer services beyond the continent.

This will provide them with convenient and affordable money transfer solutions, encouraging stronger connections and supporting financial well-being.

Building Rafiki, the B2B Payments Platform

NALA envisions Rafiki as the bedrock for financial inclusion for the “next billion users.” The platform will prioritise reliability, offering features like efficient treasury management, improved error detection systems, and reduced transaction costs.

Ultimately, NALA aims for Rafiki to play a transformative role in Africa, similar to the impact created by dLocal in Latin America and AirWallex in Asia.

NALA’s Impressive Track Record: A Legacy of Growth and Achievement

The past year has been nothing short of extraordinary for NALA, marked by a series of impressive achievements:

10x Revenue Growth: In a remarkable feat, NALA has witnessed a tenfold increase in revenue over the past year.
Profitability Achieved: NALA has reached a significant financial milestone, achieving profitability and positive cash flow.
34x Volume Growth: Transaction volume has exploded by a staggering 34 times over the past 20 months, highlighting the rapid adoption of their services.
Team Expansion: NALA’s team has grown exponentially, transforming from a lean startup of just 7 members to a robust force of nearly 100 employees.
Serving Nearly 500,000 Customers: NALA’s customer base has grown rapidly, with nearly half a million users worldwide now relying on their services.

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A Bright Future for African Payments

NALA’s successful funding round and impressive growth trajectory paint a vibrant picture for the future of African payments. With a relentless commitment to innovation and a focus on financial inclusion, NALA is well-positioned to empower individuals and businesses across the continent and beyond.

As they expand their service offerings and build robust payment infrastructure, NALA is undoubtedly on track to become a leading force in the African fintech transformation, shaping a more connected and financially inclusive future.