Flutterwave lays off half of its team in Kenya and South Africa
The layoffs are a sobering reminder that even Africa’s fintech unicorns aren’t immune to the pressure of profitability.
In a bid to cut costs ahead of a long-anticipated initial public offering (IPO), fintech startup Flutterwave has laid off half of its staff in Kenya and South Africa. The layoffs began quietly in March, less than a year after 30% core teams in compliance, legal, and human resources were laid off.
Kenya, where Flutterwave once had about 20 employees, now reportedly has fewer than eight, per TechCabal, with key figures like former regional manager Leon Kiptum and associate VP for stablecoins Saruni Maina among those who have left. In South Africa, most of the sales team was let go, though Flutterwave hasn’t disclosed exact figures.
Interestingly, while cutting down, the company appears to be rehiring for similar roles in Nigeria, its most mature and cost-efficient base. Both Kenya and South Africa remain key growth markets, but neither has issued Flutterwave a Payment Service Provider (PSP) licence yet. In Kenya, the licensing process is underway after name approval from the Central Bank in 2023, while progress in South Africa remains unclear. Although the company maintains it is actively engaging with regulators in both countries.
Louis Eriakha
The company’s response to the layoffs was carefully worded, calling the move part of a broader performance and strategy-led review. It emphasized rewarding impact, noting that bonuses and promotions were also handed out to high-performing staff during this cycle. This all feeds into CEO Olugbenga Agboola’s vision of turning Flutterwave into a “disciplined, enterprise-focused company” poised for sustainable growth and long-term value.
Since raising $250 million in a Series D round in early 2022, Flutterwave has faced growing pressure from investors to pivot from growth-at-all-costs to profitability. In a Bloomberg interview earlier this year, Agboola confirmed that an IPO would only happen once the company is profitable.
For now, Flutterwave’s cost-cutting measures and market recalibrations seem to be part of a bigger, tougher journey to the public market.
