Nala, a fintech that empowers users to execute seamless cross-border payments from Europe, the UK, and the US to diverse destinations across Africa, announced that it has included Nigeria as one of its remittance destinations.
The decision to launch payments to Nigeria is significant and strategic for NALA. With roots firmly established in East Africa, this move reflects the Nala’s ambition to extend its influence across the entire continent. Nigeria, as the largest economic market in Africa with a GDP of $441 billion as of 2021, presents a fertile ground for NALA’s aspirations. Additionally, Nigeria’s substantial diaspora population of almost 400,000 in the United States and 200,000 in the United Kingdom further contributes to the country’s economic vibrancy.
NALA’s expansion into Nigeria positions it as a formidable player in the African financial technology space. The company’s aspirations to compete on a pan-African scale align it with renowned West African players like Send by Flutterwave and Lemfi. This move marks NALA’s intent to disrupt the norm, challenging the traditional methods of cross-border transactions and fostering financial inclusion across the continent.
Nala has been prominent in the news recently for its attempt to cover most of Africa through partnerships such as the partnership with Cellulant, a Pan-African Payments Company, to allow remittance payments from the United Kingdom and the United States into Kenya, Uganda, Rwanda, Tanzania, and Ghana. It was also granted license to offer mobile money services and direct integration with banks and telcos in Tanzania.
Founder and Chief Executive Officer, Benjamin Fernandes with more than a decade of experience in African payments, NALA as a catalyst for change, driving innovation while bridging the gap in technology access. “Nigeria is a clear opportunity space for NALA as we venture into West Africa. Our commitment is to enhance payment solutions for Africans worldwide by pushing the boundaries of conventional tools and expanding access to advanced technological infrastructure.”
He also emphasized NALA’s commitment to fostering local partnerships, creating jobs, and collaborating with financial institutions and payout providers in Nigeria.
NALA’s ambitious agenda goes beyond convenience. The company is tackling the persistent challenge of high transfer fees associated with sending money to Africa from abroad. The World Bank estimates average transfer fees to be around 9%, a figure that NALA aims to challenge. The company’s promise of transparency and fairness aims to provide users with greater control over their finances, removing hidden fees and ambiguity from the equation.
A key element of NALA’s success is its diverse team, comprising experts in African payments and leaders from prominent American and European tech companies. The synergy between this talent pool and the company’s mission to scale payments across Africa underscores its potential for driving impactful change.
NALA’s launch of payments to Nigeria represents a significant step toward transforming cross-border transactions in Africa. As the company’s footprint expands, it paves the way for financial empowerment, making secure and reliable payments more accessible to individuals and businesses across the continent.
