NALA has secured up to US$50 million in credit financing from private credit firm Liquidity as it ramps up expansion into stablecoin-powered cross-border payments and broadens its operations beyond traditional remittance services across Africa.
The funding arrangement begins with an initial US$25 million facility and includes the option to scale to at least US$50 million through Mars Growth Capital, a partnership between Liquidity and MUFG Bank Ltd.
NALA said it still retains more than half of the funds raised during its US$40 million equity financing round in 2024, meaning the newly secured debt capital will primarily support expansion efforts rather than stabilising its balance sheet.
The transaction reflects a broader financing shift among African fintech firms, with many startups increasingly turning to structured debt and private credit as tighter venture capital conditions make additional equity fundraising less attractive due to shareholder dilution.
NALA founder and chief executive Benjamin Fernandes said the company previously experienced periods of extremely rapid growth that strained its payment infrastructure and liquidity requirements, particularly around pre-funding international transactions. He noted that Liquidity provided flexible financing tailored to the company’s operational needs, helping unlock its next phase of growth.
The fintech added that demand for stablecoin-based payment infrastructure has risen significantly, especially among businesses transferring money between developed economies and emerging markets. The fresh financing will help the company pre-fund customer accounts and expand payment corridors ahead of several large enterprise partnerships expected to go live later this year.
Private credit investors have increasingly targeted high-growth fintech firms operating in emerging markets, betting that demand for cross-border payment systems, digital banking services and stablecoin settlement infrastructure will continue rising despite growing global regulatory scrutiny surrounding digital assets.
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Liquidity’s Global Head of Investments, Paul Brodie, said the financing structure was specifically designed around NALA’s compliant stablecoin payment rails, real-time transaction capabilities and rapid growth across emerging market corridors. He added that the firm conducted extensive due diligence and stress-tested the business model across multiple scenarios before structuring the scalable facility.
Founded in 2017 by Tanzanian entrepreneur Benjamin Fernandes, NALA initially built its reputation around affordable remittance transfers into African markets such as Kenya, Tanzania, Ghana and Nigeria.
The company has since repositioned itself as a wider payments infrastructure provider through Rafiki, its business-to-business payments platform that uses stablecoins to facilitate global collections and payouts.
NALA expanded into the Kenyan market last year through partnerships with Equity Bank and Pesalink, relying on existing banking and payment infrastructure to channel international transfers into local bank accounts and mobile wallets instead of seeking direct licensing from the Central Bank of Kenya.
