A cloud-based financial business founded in Colombia called Minka has declared its intention to grow its operations throughout Africa.
The company’s initial phase of expansion will involve the establishment of stores in Eastern and Southern African nations.
With intentions to expand into Southern African markets like Mozambique, Zambia, and Malawi, Minka began operations in East Africa on Tuesday, July 2, 2024, starting in Kenya, Tanzania, Uganda, and Ethiopia.
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Minka fintech says it’ll drive its initial focus on Eastern and Southern Africa following its success footprints in Latin America, where it plugs the gaps between central banks, banks, other financial institutions, and clearing houses online through shared and connected ledgers.
Minka Fintech Startup Transforms Digital Payments in Latin America
To transform digital payments and financial services throughout Latin America, Minka, an innovative fintech startup, was established in Bogota, Colombia, in 2016.
Securing $24 million in Series A capital from three prestigious investors, Tiger Global Management, Kaszek Ventures, and the FinTech Collective, marked a significant turning point for the company in 2022.
The significant investment strengthened Minka’s standing in the fintech industry and enabled the company to pursue its expansion goals and improve its product offerings. Minka has the potential to significantly impact the financial technology industry and quicken its growth trajectory with this funding.
The introduction of Minka, which builds payment networks that allow people to send money between participating banks and other financial institutions, in Africa follows a trend of Latin American fintech companies making inroads into the continent to capitalise on its growing digital payments market.
For instance, a Brazilian payment company called EBANX launched in 11 African nations in 2022.
Minka’s Mission to Build Efficient Payments
The Uruguayan financial technology company dLocal obtained payment service provider licences from the Central Bank of Kenya and the National Bank of Rwanda around a year later. Shortly after, the Central Bank of Nigeria granted a licence of a similar nature.
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Domagoj Rozic, the fintech CEO, explains why Minka decided to play in the African market, and it shows how serious they are about their mission to build more efficient payment infrastructures across the Global South.
Rozic declared that their team in Latin America has effectively addressed several challenges, including low levels of financial inclusion, a firm reliance on cash, and non-interoperable legacy payment systems.
They feel it is their responsibility to keep developing solutions that advance society.
Apart from the very competitive and quickly expanding fintech industry on the continent, Minka is also banking on the age group similarities between its home market, Latin America, and Africa.
