Affinity Ghana, a full-scale digital bank has secured funding from the Africa-focused impact investment firm Renew Capital.
What problem is Affinity solving?
Founded by Tarek Mouganie, Affinity was established with a bold vision to provide banking services to 350 million adults who remain unbanked in Africa. Operating as a digital banking platform, Affinity offers a full suite of banking services, including current, savings and investment accounts, transfers, payments, and loans, with a targeted focus on financially excluded populations in Africa.
Affinity prioritizes customers, offering accounts with no fees and competitive interest rates on deposits, and providing access to a range of affordable loan products.
“At Affinity, we’ve developed a fully integrated platform dedicated to promoting financial inclusion by effectively addressing the challenges faced by individuals and MSMEs without access to financial services across sub-Saharan Africa,” stated the Group CEO and Founder of Affinity Africa, Tarek Mouganie. “Our approach revolves around low-cost deposits, fully online digital channels, and becoming the most affordable MSME lender.”
What has growth been like since its inception?
Affinity began operations after acquiring a microfinance business in Ghana in 2020. In March 2022, the Bank of Ghana granted it a license upgrade to the savings and loan category, the first grant of its category in almost a decade. Serving over 17,000 customers, the company 12x its revenue by disbursing $12.5 million in loans in 2023. It has also mobilized $26 million in customer savings.
Why did Renew Capital invest?
“Progress is being made across the continent related to financial inclusion, but there are still millions more to reach,” stated JC Oelofse, Renew Capital’s head of investment. “Renew Capital is thrilled to invest in Affinity, our first investment in Ghana, and looks forward to supporting them as they look to expand across the continent.”
Which other investors are betting on the Affinity Group?
Affinity is backed by Africa-focused venture capital firms such as Enza Capital and Launch Africa Ventures and international investors like Grazia Equity and Nour Nouf Knowledge Company.
Source: Renew Capital
