Kwara, a Kenyan fintech company that specializes in digitizing credit unions (saccos), has more than doubled its client base in the past year and is aiming for substantial growth in the coming years.
The company has announced the raise of a $3 million seed extension round and signed an exclusive digital solutions distribution agreement with the Kenya Union of Savings & Credit Cooperatives (Kuscco), the national umbrella body representing saccos. As a result of this partnership, Kwara has gained access to a pool of over 4,000 saccos for its banking-as-a-service offering.
Kwara's automated onboarding process has ensured customer success and growth, and the company has grown its clientele base to 120 from 50 at the end of 2021. The fintech is planning on adding more features to cater to the saccos, and additional products for the neobank app users too.
Additionally, Kwara is set to acquire Kuscco's subsidiary IRNET, a software company and provider for saccos, for an undisclosed amount. This partnership comes at a crucial time for Kwara, as the company plans to double down on its efforts in Kenya, with the goal of expanding its presence in the country. The new funding brings the total seed amount raised by the startup to $7 million.