Nigerian fintech startup Kredete, dedicated to supporting African immigrants in building credit and accessing financial services, has successfully raised $22 million in a Series A funding round aimed at accelerating its entry into European markets. The investment was spearheaded by AfricInvest through its Cathay AfricInvest Innovation Fund (CAIF) and Financial Inclusion Vehicle (FIVE), with additional backing from Partech and Polymorphic Capital.
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This fresh capital injection increases Kredete’s total funding to nearly $25 million and is strategically allocated to support expansion into new regions, including Canada, the UK, and select European countries.
Kredete’s primary goal is to empower African immigrants by integrating remittance services with a proprietary credit-building platform, enabling users to establish and improve their credit profiles internationally.
Kredete’s Growth Trajectory and Vision
Established in 2023 by CEO Adeola Adedewe, Kredete was founded with the mission to ensure that financial responsibility is recognized globally, regardless of geographic location. The platform innovatively merges stablecoin-based remittance with a unique credit-building mechanism.
This technology enables users to transfer funds to over 30 African nations while simultaneously enhancing their credit scores in countries like the United States.
To date, Kredete has facilitated remittances exceeding $500 million and has helped users increase their U.S. credit scores by an average of 58 points. This initiative aligns with the United Nations Sustainable Development Goals, particularly those promoting Decent Work, Economic Growth, and Reduced Inequalities, by serving a demographic often marginalized by conventional financial institutions.
With the new funding, Kredete plans to introduce Africa’s inaugural stablecoin-backed credit card, set to launch in more than 41 countries. This card will allow users to make seamless transactions, build credit, and avoid expensive currency conversion fees.
Additionally, Kredete is rolling out features tailored for immigrants with limited or no credit history, such as rent payment reporting, credit-linked savings accounts, and goal-oriented loan products. On the corporate front, the company is developing a comprehensive API-driven infrastructure to offer businesses a unified platform for secure, cost-effective, real-time cross-border payments into Africa.
Investor Insights and CEO Perspective
The successful capital raise underscores strong investor belief in Kredete’s distinctive value proposition. CEO Adeola Adedewe shared his vision, emphasizing the company’s commitment to recognizing financial support provided by immigrants to their families as a key factor in creditworthiness.
“Our goal is straightforward: financial support sent to loved ones should contribute to building credit,” Adedewe stated. “We are creating a system that acknowledges responsible financial behavior across borders. This funding will help us scale globally and ensure millions of Africans living abroad are properly recognized, scored, and served.”
Investors have echoed this enthusiasm, highlighting Kredete’s innovative approach. Khaled Ben Jilani, Senior Partner at AfricInvest, commended the startup for addressing multiple challenges simultaneously for both consumers and major payment operators.
He remarked, “Kredete is a rare example of a startup that effectively tackles several issues at once-benefiting African consumers and large payment companies operating on the continent.”
Likewise, Lewam Kefela, Principal at Partech, expressed excitement about the partnership, noting, “We are inspired by how Kredete is enhancing financial services for the African diaspora and unlocking new opportunities within the ecosystem. We look forward to supporting their journey.”
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