Combining mobile payments and international remittances into one solution, which are traditionally separated, this feature opens a new perspective when it comes to the interplay of African financial technology services.
NALA was launched in 2018 as a personal finance app aimed at helping Tanzanians and Ugandans manage their finances, and in 2021 it was expanded into a money transfer app for the African diaspora in need to send money to family and friends back home. Although most local and global remittance players enable international transfers, users abroad cannot make local payments from their locations and senders from the diaspora did not have full control and flexibility over remittances made to Africa.
Following a goal of allowing Africans living abroad to send money in their local currency, NALA launched an affordable solution that would allow Kenyans to make these kinds of payments directly.
NALA’s decision to launch the product in Kenya follows its footprint increase in the East African country, where in July 2022 the company partnered with a commercial bank in the country, Equity Bank, to facilitate remittances from the US and the UK Kenyan diaspora. Following the partnership, NALA opened an office in Nairobi which is currently serving as its operational base; the fintech is steadily growing in the East African market, having also established its presence in Tanzania and Uganda.
Company representatives have stated that their solution is built around the US and the UK since these two countries have the largest East African population outside of Africa and, with most of the money still being sent to Africa in cash, they believe that digitisation and allowing control over money to senders can help change this narrative.
NALA is set to launch the pay bill feature in Tanzania after Kenya, with a rollout in other mobile money markets they operate in expected to follow short after.
NALA is looking to change the way in which Africans experience financial technology services, having made accessible their product roadmap to all.
Kenya is a market where mobile money is widely spread, with more than 68 million mobile money accounts having been registered, as per information provided by Statista. The government-owned market leader M-PESA operates a Pay Bill service that enables organisations and individuals to receive payments; the integration by NALA allows customers abroad to send money directly to the Pay Bill or Lipa na M-PESA number in a safe and secure manner.
NALA representatives have stated that this integration follows the company’s mission on enabling the Kenyan diaspora to invest in the country efficiently, their overall goals being to increase the economic opportunities for Africans globally.
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