eSHANDI expands fintech services to East African market

Zambian fintech company, eSHANDI, is embarking on a monumental journey as it expands its innovative financial services into the East African market. With over 1.7 billion people worldwide lacking access to formal financial services, eSHANDI's expansion is aimed at addressing this significant issue. Co-Founder and Chief Visionary Officer, Chilufya Mutale-Mwila, highlighted the company's evolution from a microfinance institution in Zambia to a challenger bank providing formal financial services to over one million people across emerging markets in sub-Saharan Africa. The financial strength amassed over the years has positioned eSHANDI to further expand its reach across the continent. Since 2019, the company's mission has been to empower individuals and businesses constrained by the lack of basic access to financial services. Building on a proven model in Zambia and the success achieved in the past five years, eSHANDI is now poised to replicate this success in emerging markets across Africa, catering to more unbanked and underserved communities. Despite increased bank account ownership in Africa, a staggering 1.7 billion individuals globally remain excluded from financial services. Within Africa itself, around 95 million people, roughly 57% of the population, lack even a basic traditional bank account. This disparity significantly impacts 40 million SMEs facing a financing gap exceeding $30 billion, particularly affecting women and youth-led businesses. The prevailing gender gap and challenges experienced by the 'missing middle' segment hinder the growth of 90% of all businesses and 60% of jobs. eSHANDI recognizes the pressing need to bridge these gaps, viewing it not only as a social mission but also as a substantial economic opportunity for pioneers like themselves in untapped markets across Africa. Upon examining the reception in East Africa, a region boasting a vibrant fintech landscape, eSHANDI notes a favorable regulatory environment conducive to fintech innovation. Collaborations with global entities and the establishment of East Africa as a regional and global fintech hub further enhance the potential for growth and partnerships. eSHANDI's tailored financial services cater to the unique needs of underserved and disadvantaged income groups, distinguishing themselves in both the Southern and East African markets. eSHANDI's expansion strategy targets Kenya and Tanzania within the East African region. The company's robust financial standing, generating annual revenues exceeding $10 million, and the support of venture capitalists, Enigma Ventures, impact funders like Enox Capital, and technology allies such as Mastercard, serve as pillars for its growth and financial inclusion agenda throughout Africa. With a focus on providing tailored and innovative solutions, eSHANDI is poised to make a significant impact on the financial landscape of East Africa, catering to the unbanked and underserved populations in the region.