Digital platform eyes regional expansion after clinching Sh6.5b funding

Business
By Kelley Boss | May 27, 2025

(L-R) Richard Pulford, head of M&A Ernst and Young Africa, Gunnar Holm (C) Norwegian Ambassador to Kenya and Terje Width, Wakandi group COO, during the launch and signing ceremony of Wakandi and Mastercard, on May 13, 2025 at the Norwegian Embassy in Nairobi. [Edward Kiplimo, Standard]

Wakandi has launched a Series of funding rounds, aiming to raise $50 million (Sh6.5 billion) within three months to expand into Kenya, Uganda, and Tanzania.

Wakandi, a digital financial system primarily designed for cooperatives and microfinance institutions, seeks to digitise ="https://www.google.com/url?client=internal-element-cse&cx=011965659370381653902:7awkdkhs2_y&q=https://www.standardmedia.co.ke/business/enterprise/article/2001518909/financiers-push-for-tailor-made-solutions-for-high-risk-smes&sa=U&ved=2ahUKEwie1tHp3MONAxURK_sDHRpiImwQFnoECAEQAg&usg=AOvVaw0mCNXxET9VO2aPFJEr3WgS">Saccos and small and medium enterprises< (SMEs), enhancing financial inclusion across the region.

Recently, Wakandi signed a partnership with Mastercard at the Norwegian Ambassador’s residence in Nairobi, combining Wakandi’s digitisation expertise with Mastercard’s cash movement solutions.

This collaboration targets the informal sector, which contributes 50 per cent of sub-Saharan Africa’s GDP and 85 per cent of its jobs, addressing challenges like fraud and limited access to formal financial services.

Wakandi Group Chief Executive Espen Kvelland emphasised that digitisation is key to unlocking Africa’s economic potential by serving the masses at the base of the pyramid.

“Digitising Saccos cleans up balance sheets, provides a solid foundation, and doubles savings in some cases, enabling access to affordable financial products,” he said.

Chamas and Saccos are primary savings vehicles in ="https://www.google.com/url?client=internal-element-cse&cx=011965659370381653902:7awkdkhs2_y&q=https://www.standardmedia.co.ke/business/opinion/article/2001512641/how-e-commerce-is-unlocking-the-growth-of-small-businesses&sa=U&ved=2ahUKEwie1tHp3MONAxURK_sDHRpiImwQFnoECAMQAQ&usg=AOvVaw09nKD74O-i-jkORB3G7bJ3">Kenya’s informal financial sector<, relied upon by millions daily. However, manual operations make them prone to fraud and exclude users from formal financial systems.

Digitisation, as Justa Mugambi, chairlady of Tigania Women’s SACCO, noted, allows for credit score monitoring and attracts younger members, expanding market reach.

Shehryar Ali, Mastercard’s East Africa Country Manager, highlighted the drawbacks of cash-based systems: “SMEs, including small Duka shops, struggle with financial inclusion. Cash prevents building a credit trail, limiting access to loans and growth opportunities. Digital payments solve this by enabling seamless transactions and remittances.”

Terje Width, Wakandi’s COO, underscored their mission: “We address the informal sector’s financial lives, where most rely on cooperatives and savings groups. Our solution digitises this space, unlocking its growth potential.”

By leveraging technology, Wakandi aims to transform the informal sector, a critical driver of ="https://www.google.com/url?client=internal-element-cse&cx=011965659370381653902:7awkdkhs2_y&q=https://www.standardmedia.co.ke/business/business/article/2001507633/saccos-urged-to-strengthen-risk-management-to-safeguard-their-resources&sa=U&ved=2ahUKEwie1tHp3MONAxURK_sDHRpiImwQFnoECAYQAQ&usg=AOvVaw0ILc0l5ml2_0Dqk9gIYXX9">employment and economic activity< in the region.

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