In a bid to facilitate financial inclusion in key markets across the continent, Nigerian fintech startup TeamApt has announced plans to expand its reach to the rest of West Africa and North Africa.
Founded six years ago, the startup has worked with commercial banks in Nigeria by providing access to financial services especially for citizens in rural areas, in spite of the general distrust of mobile banking by that part of the population.
Explaining the decision to expand beyond its Nigerian borders, the TeamApt CEO, Tosin Eniolorunda, noted that the company has discovered opportunities for growth in areas where financial inclusion remains a problem all over the continent.
“Many synergies and opportunities have been underexplored in the journey of improving financial inclusion in Africa and other emerging markets and we are excited by the prospects of what we can achieve,” Eniolorunda said.
“We are confident in our competence and the technical expertise to deliver products and services that will transform access to financial services across Africa,” he added.
By the numbers
Through its products, Moniepoint and Monnify, the startup has been a success in its Nigerian ventures, working with all of the commercial banks in the country.
Back in March 2019, TeamApt raised $5.5 million in Series A funding. Forbes subsequently credited it with “transforming Africa’s payment sector”.
Between 2016 and 2019, the fintech startup recorded revenue growth of over 4,500%. Since its inception, the company’s products have served 15 million customers and 100,000 businesses.
At present TeamApt facilitates transactions worth a combined N448 billion every month.
Empowering underserved groups
Beyond expanding to new markets, TeamApt is also setting its sights on a new customer-base entirely – underserved individuals and businesses.
While it has been working with African and commercial banks in the past, its focus will now be designing products that make it easier for individuals and businesses to access and manage their finances with more efficiency, the company said.
TeamApt’s expansion will be into markets where the rates of digital financial inclusion are seeing conflicting reports of growth. In 2016, only 6% of Senegalese adults were engaged in mobile banking; by 2019 the figure had risen to 32%. For Benin Republic, the figure is at 47%.
But Egypt has had a persistent struggle with raising digital financial inclusion. In 2020, less than 6% of Egyptian adults made digital payments and only 1 in 3 even operate bank accounts despite over 90% owning mobile phones.