FinTech Modulr to power NALA Money’s UK launch
By Megha Bhattacharya
NALA Money, a Tanzanian startup, announced that it has become an Electronic Money Directive agent with its partnership with Modulr. The development comes before the scheduled launch of its transfer app for the UK’s East African Diaspora. With the launch, the FinTech will be able to launch a range of financial services from the UK to East Africa.
David Sica, Partner at leading venture capital firm NYCA Partners, who are also investors in NALA commented, “I know the team at NALA have always harboured ambitions to make an impact on a global scale. The success they have had in East Africa sets a strong foundation for the change they want to drive within African diaspora communities in the UK and beyond.”
NALA will be rolling out their beta offering gradually from February 2021 for UK-based customers sending money to Kenya and Uganda.
NALA’s CEO Benjamin Fernandes explained, “We want to use remittances as a foundation for new layers of payments services for the African diaspora and their loved ones back home. There are many companies that claim to be “startup-friendly”, but with Modulr this was actually the case. When searching for the right partner, we came across a number of financial institutions who either didn’t have the adequate API integrations or institutions who had the technical capabilities, but couldn’t provide regulatory sponsorship – Modulr has provided us with both. We are excited to move forward with Modulr’s support to increase economic opportunity for Africans across the globe.”
Recently, British challenger bank Revolut announced the launch of Confirmation of Payee, powered by Modulr, for its UK retail customers. Confirmation of Payee automatically checks that the recipient name and account details match the information held by the recipient’s bank or payment service provider, alerting the payer if there is a discrepancy. The new launch is expected to bolster the company’s anti-fraud features and forms a part of Pay.UK’s anti-fraud initiative.
Nick Adams, Chief Customer Officer at Modulr commented, “When we first met the NALA team, we were blown away by their resolve to lower the economic barriers diaspora communities face. This only rang all too true with us at Modulr, as we eliminate the hidden inefficiencies of traditional banking and connect businesses directly into the economy.”
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