Fintech Startup Kawara Is Launching Neo Banking Apps Aiming At The Modernization Of Financial Services

December 13, 2021 | 2 minutes read

A Kenya-based Fintech startup Kwara with its digital banking platform is helping the masses in obtaining financial services is now launching a neo banking app.

Kwara, the fintech startup launched in 2018 has recently announced to launch a neo banking app. The company has built a digital banking platform that is sculpted to aid the underbanked people to help them in building wealth in a frictionless way.

The startup has been on an upward trajectory for two years as its client base shot up from two to 50% in the time period of two years. The sharp increase can be associated with the pandemic that caused an increase in fintech-related services like fintech app and software development. The fintech market is also projected to rise up to $305 billion by 2025. The sudden rise also portrays the dependence of people upon fintech for the fulfillment of their financial needs. Other than this the country’s cooperative credit unions need more technology to remain competitive.

Kwara launched by Cynthia Wandia and David Hwan has a wide range of services like the management platform that drives efficacy plus automation. It also connects the saving cooperatives with banks, payment gateways, and other third parties by using an open API. These services from the startup come in one software-as-a-service package. It also enables its users and cooperative clients to pay for their usage and get a single end-to-end solution. Kwara now aiming to modernize the financial services in Kenya is planning to launch a neo banking app. The neo bank will aid the credit union members to access third-party services and instant loans such as insurance. This will also allow individuals to sign up with their preferred credit unions to access various financial services.

 The startup has also recently raised $4 million in seed round for its neo banking app. The funding round was led by Breega VC although the participants were New General Market Partners, SoftBank Vision Fund Emerge, Globivest, Do Good Invest, Finca Ventures. The other investors were Future Africa, Rabacap, Norrsken Impact Accelerator, Equity, Samurai Incubate, and fintech angels.

Kwara CEO Cynthia Wandia told said, “We are building a solution for people – an estimated one billion – who do not currently have access to personalized banking services. This is the result of a gap in banking-grade technology and the lack of neobank-like experiences for the end clients. We’ve been thrilled to see the excitement around the Kwara brand among credit unions and their members, which is fast becoming synonymous with a superior user experience and the future of banking. Thanks to our investors, we will now be able to offer an end-client experience that is 100 times better than what they previously had access to.”

Story Credits: International Finance