Ugandan FinTech Numida closes $2.3M seed round led by MFS Africa

Ugandan FinTech startup Numida has closed a USD 2.3M raise in a seed round that was led by MFS Africa. The development was first reported by Tech Crunch.

Numida supports semiformal micro and small businesses with digital working capital loans of $100-$5000 disbursed via mobile money.

Numida started out as provider of a bookkeeping tool that enabled traditional micro-finance institutions (MFIs) to provide unsecured credit to semi-formal businesses.

MFS Africa that led the round is an African payments company and they were joined by DRK Foundation, Equilibria Capital and Segal Family Foundation alongside angel investors in the $2.3M seed round. MFS Africa acquired another Ugandan entity (Beyonic) in 2020.

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We are thrilled to have taken the lead in @numidatech’s $2.3m seed round that's just closed.

Numida has built one of East Africa’s first digital financial institution, targeting 130 million micro and small businesses in Africa.

Read more on @TechCrunch: https://t.co/YT9cB3kwqg pic.twitter.com/lSJrt1aFRD

— MFS Africa (@MFS_Africa) April 13, 2021

Numida hope to use the new financing to expand their operations in Uganda and are targeting entry into West Africa with Ghana a possible starting point. According to Tech Crunch, Numida will introduce additional financial services like payments, micro-insurance and deposits to its customers.