African Fintech NALA Secures $50 Million to Make Cross-Border Payments Faster and Cheaper
African fintech company NALA has secured up to $50 million (about KSh6.5 billion) in financing to accelerate the expansion of its stablecoin-powered cross-border payments platform, as demand grows for faster and more affordable international money transfers.
The financing, provided by Liquidity through Mars Growth Capital which is a joint venture with Japan's MUFG Bank begins with an initial $25 million credit facility and can be expanded to at least $50 million as the company scales its operations.
Unlike an equity fundraising round, the facility provides working capital without diluting existing shareholders.
Founded by Tanzanian entrepreneur Benjamin Fernandes, NALA started as a remittance platform serving Africans in the diaspora before expanding into business payments through Rafiki, its enterprise payments infrastructure.
Today, the company's network connects more than 249 banks and 26 mobile money services across 16 countries in Africa and Asia.
Supporting the next phase of growth
According to NALA, the new financing will primarily be used to pre-fund customer transactions, expand payment corridors and support larger enterprise clients.
The company said it still retains more than half of the capital it raised during its $40 million equity round in 2024, allowing the new facility to be used for growth rather than addressing liquidity challenges.
The move comes as stablecoin-powered payment systems continue to gain traction globally, offering businesses a faster and potentially lower-cost alternative to traditional cross-border payment methods.
Why it matters
Cross-border payments remain one of Africa's biggest financial challenges, with businesses and individuals often facing high transaction fees and lengthy settlement times.
NALA's latest funding highlights growing investor confidence in African fintech companies developing payment infrastructure for global markets.
As more businesses embrace digital payments and stablecoin technology, the company is positioning itself to play a bigger role in connecting Africa with Europe, the United States and other international markets.
