An Egyptian fintech startup, Munify, has successfully raised $3 million in seed funding to expand its cross-border neobank, which is specifically designed to serve the Egyptian diaspora. Founded by Khalid Ashmawy, a former Microsoft and Uber engineer and co-founder of the proptech company Huspy, Munify has created a solution to address the high costs and slow speeds of traditional remittance methods.
The startup, which recently joined Y Combinator’s Summer 2025 batch, allows Egyptians living abroad to send money back home instantly and at a lower cost. Beyond remittances, Munify also offers a unique benefit to residents and regional freelancers in Egypt: they can access U.S. bank accounts and debit cards using only a local Egyptian ID. This feature provides a significant advantage for those who work with international clients or need to manage funds in a stable currency.
Egypt is one of the world’s largest remittance markets, with an estimated $30 billion in annual transfers. This market is currently dominated by traditional, often expensive, services like Western Union, MoneyGram, and bank transfers. Munify aims to disrupt this landscape by building its own “banking rails” to directly connect financial systems between countries. This proprietary infrastructure will bypass the slower, more costly networks of traditional financial institutions.
The platform, which launched just two weeks ago, has already seen impressive early traction, reporting thousands of sign-ups. Additionally, Munify has secured contracts with companies that are expected to generate over $50 million in monthly cross-border transaction volume. The company’s revenue model is based on multiple streams: foreign exchange (FX) spreads, interchange fees, and payment flows.
With this new funding, Munify plans to expand its services across the wider Middle East region, leveraging its innovative approach to financial connectivity. Munify’s seed round was supported by a strong group of investors, including Y Combinator, BYLD, and DCG. The company’s focus on solving a clear customer problem and its early momentum position it as a key player in the evolving global remittance market.
Khalid Ashmawy, Founder and CEO of Munify, commented:
Remittance flows are one of the most critical financial lifelines for Egypt, yet millions still face costly, slow, and fragmented services. We’re building the infrastructure to make global banking and payments radically more accessible for Egyptians, wherever they live.
