• Friday, May 24, 2024
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BusinessDay

Kuda reaches six-million customer base milestone

Kuda misses projection despite raising $20m valuation in 2023

Kuda, the money app for Africans has passed six-million customer milestone in Nigeria, extending its corporate mandate of making financial services more accessible, affordable, and rewarding to all Africans.

Since inception, the fintech has been on a consistent growth trajectory, making great strides in repositioning the Nigerian Fintech space through disruptive marketing and its improved banking app that offers savings, payment, and credit services for retail and business customers.

Announcing the landmark achievement in a statement, Babs Ogundeyi, group CEO/founder, Kuda Technologies Limited expressed excitement over the recent milepost, describing it as part of the unrelenting commitment and resilience of the Kuda team to build sustainable and innovative solutions that enable Africans to enjoy affordable and quality financial services at all times.

“Kuda Microfinance Bank has grown from a digitally-leveraged financial solutions start-up to an industry leader, and the announcement of our six-million customer mark was significant, coming just under a year after attaining the four-million customer acquisition milestone.” He said.

Ogundeyi noted that Nigeria remains a key market for Kuda, assuring that the growth momentum in customer acquisition is a motivation to expand the brand footprint in other African markets.

“Nigeria is where Kuda’s story began and it remains a key market for us even as we expand to reach Africans in other parts of the world. Our success here is a motivator and a blueprint for everywhere else we will establish our brand of accessible, affordable, and rewarding financial services.” He stated.

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“We are giving Africans around the world a better alternative to traditional finance by delivering services including free money transfers, business banking, and instant access to credit through digital devices,” Ogundeyi further stated.

In four years of operations in Nigeria, Kuda has recorded several achievements and the six millionth customer sign-up caps the numerous noteworthy milestones that the fintech has previously recorded.

In August 2019, Kuda launched the beta app and raised over $90m from some of the world’s most respected institutional investors including Valar Ventures and Target Global.

In May 2020, Kuda launched a COVID-19 fund to provide relief to vulnerable groups in Lagos, a city of over 20 million people. It also partnered with Payoneer, a global payments platform, to facilitate international business payments to Nigeria.

In November 2020, Kuda raised $10 million from institutional investors in a seed round led by Target Global, while in February 2021, it processed over $2bn transactions per month and passed one million android downloads.

Also, in March 2021, Kuda piloted overdrafts with plans to extend the credit service to all its active customers, announcing “a $25 million Series” A funding round led by Valar Ventures. It spiked up in August 2021 as Kuda raised $55 million for global expansion in a Series B round co-led by Valar Ventures and Target Global.

The same year in November 2021, Kuda launched Visa cards in Nigeria; passed the two millionth customer milestone in December 2021, and in February 2021, Kuda passed 1.5 million iOS downloads.

In March 2022, Kuda passed the three-million-customer milestone; ramped up to four millionth customer base in July 2022, and further in November 2022, Kuda launched in the UK, while capping with the six-million-customer milestone in June 2023.