Kuda Bank is preparing to expand its footprint beyond Nigeria, with plans to launch remittance services in Tanzania and Canada following successful testing in both markets. The digital bank disclosed the development in a New Year message to customers, signaling its next phase of growth as it moves deeper into cross-border financial services.
While specific launch timelines have not yet been announced, the confirmation places Tanzania and Canada next in line as Kuda looks to serve Africans on the continent and in the diaspora with faster and more affordable international money transfer options.
Building on a Strong 2025
Kuda’s expansion plans come on the back of a strong 2025 performance marked by significant growth in transactions, savings, and credit usage across its platform. According to figures shared by the bank, customers processed over ₦29 trillion in transactions during the year, spread across more than 1 billion individual transactions.
These numbers point to deeper customer engagement and increasing reliance on Kuda for everyday financial activity, ranging from payments and transfers to savings and overdrafts. Savings on the platform crossed ₦656 billion, while users accessed more than ₦125 billion in overdrafts, highlighting growing trust in Kuda’s credit offerings.
In addition, the bank paid out ₦797.6 million in interest to customers, processed 154.9 million bill payments, and offered ₦2 billion worth of free transfers during the year.
From Nigerian Neobank to Cross-Border Platform
Kuda’s planned entry into Tanzania and Canada represents a strategic shift from being a Nigeria-focused digital bank to becoming a broader financial platform catering to regional and diaspora users. Canada, in particular, is home to a large African immigrant population and significant remittance flows into Nigeria and other African countries.
By expanding into these markets, Kuda positions itself closer to international money corridors that are traditionally dominated by legacy banks and global remittance providers. For customers, this could translate into quicker settlement times, lower fees, and a more seamless experience for sending money across borders.
The move also allows Kuda to reduce reliance on third-party platforms for international transfers, giving it greater control over pricing, user experience, and service reliability.
Infrastructure and Licensing as Enablers
The bank noted that much of 2025 was spent strengthening its internal infrastructure, particularly systems that support faster and more reliable international transfers. This groundwork is critical as Kuda moves into jurisdictions where regulatory expectations, compliance requirements, and customer needs differ significantly from Nigeria.
Kuda already operates as a CBN-licensed digital bank and has previously raised capital to support its growth ambitions, including a $55 million Series B round at a $500 million valuation. However, successful expansion into Tanzania and Canada will still depend on securing the necessary regulatory approvals, forming local partnerships, and adapting products to local market realities.
Part of a Broader Fintech Trend
Kuda’s expansion plans reflect a broader trend among African fintech companies that are increasingly looking beyond their home markets as competition intensifies and digital banking adoption matures locally. With Nigeria’s fintech space becoming more crowded, regional and diaspora markets present new growth opportunities.
If executed successfully, Kuda’s move into Tanzania and Canada could mark a significant step in its evolution — from a fast-growing Nigerian neobank into a cross-border financial institution serving Africans both at home and abroad.
As the launches approach, attention will turn to how effectively Kuda navigates regulation, localization, and competition in these new markets, and whether it can replicate its Nigerian success on an international scale.
