Kuda BankFollowing a recent beta launch as a digital bank, Nigeria’s banking startup Kuda has raised $1.6 million in the form of pre-seed investment funding.

The fund-raising saw participation from UK-based startup accelerator Startupbootcamp, Haresh Aswani of Indonesian Tolaram Group, and Ragnar Meitern among other investors.

The challenger bank plans to use funds raised to launch the platform later this year, to expand software development and customer support teams and equip them with requisite training.

However, at present, the startup is focusing on product improvement and improving customer support, according to a blog shared by the bank.

Through the blog post, Team Kuda shared that thousands of people have already opened bank accounts ahead of the official launch due for the last quarter of 2019.

The fintech started out as a lending platform titled Kudimoney in 2016, but on June 2019, it re-branded itself as Kuda and secured a banking license from the Central Bank of Nigeria, according to a media report.

The digital bank plans to offer a free banking platform, a debit card, an app which tracks spending and the lowest transfer rates in Nigeria to facilitate consumer savings and P2P payments.

by Sheeba Bhagat Dawar
Market Analyst at IBS Intelligence