Guinean fintech startup YMO has raised €3 million ($3.2 million) in seed funding from a group of venture capital funds including Breega and INCO Ventures. The investment represents one of the largest sums ever raised by a Guinean start-up.
YMO was founded in 2019 by Abdoulaye Barry and launched with an instant mobile payment service between France and Guinea. In October 2022, the start-up obtained its authorization as an electronic money issuer from the Central Bank of the Republic of Guinea and launched its local payment service.
YMO aims to provide financial inclusion for African populations on the continent and in the diaspora of France and Europe, which it says are excluded from the traditional financial system.
The company plans to expand throughout West Africa, with nearly one million users already on its platform. The funds raised will be used to strengthen its tech and compliance workforce and to expand its research and development team, as well as its compliance department in Europe and Africa.
The investment comes amid a significant increase in mobile money transactions in Africa, with smartphone penetration expected to reach 70% in 2024. YMO is well positioned to capitalize on this trend, with its 100% digital solution focused on using technology for money transfers and everyday payments.
The funding will enable the start-up to continue its development and to build a sustainable business that meets real needs and improves the lives of its customers.