Egyptian super financial app Khazna raises $38 million

Cairo, Egypt: Khazna, a Cairo-based financial super app that provides easy-to-use, technology-driven financial services to underserved Egyptian consumers and micro-businesses, today announced that it has raised a series Has $38 million in equity and debt, with the equity investment led by impact investor Quona Capital with participation from Speedinvest, Nclude, Khawarizmi Ventures, Algebra Ventures, Accion Venture Lab, Disruptech, AB Accelerator by Arab Bank and CVentures, among others. Debt financing for the company is provided by Lendable, while Arab Bank Egypt is the security agent facilitating the transaction. The round comes as Khazna steps up its efforts to replace informal cash-focused alternatives across Egypt, combining a native digital solution with an innovative business model.

Khazna’s super app targets the 50% of Egyptians who are active smartphone users and lack access to formal financial services. Khazna currently offers General Purpose Credit, Buy Now Pay Later (BNPL), and Bill Payment. The company’s vision is to digitize cash transactions across Egypt, in response to the Central Bank of Egypt’s recent push for financial inclusion and a “less cash” framework. “.

Khazna launched in 2020 with an Earned Wage Access product which has since become the multi-product offering available today. Khazna’s management team is made up of former executives from World Remit, Valeo, Uber, CIB, Jumia, Match Group and Arqaam Capital.

“The unprecedented development of the nascent fintech industry in Egypt demonstrates the significant efforts of the Central Bank of Egypt towards financial inclusion and a less liquid society. We are aligned with CBE’s vision and Khazna believes at its heart that world-class financial services should be accessible to everyone. We combine cutting-edge technology and relentless user obsession to create the best experience for our users,” said Omar Saleh, co-founder and CEO of Khazna. “We continue to see exponential growth in network effects created by our over 150,000 active users, our partners and Egypt’s largest merchants. »

Khazna represents Quona Capital’s second investment in Egypt. “In just two years, Khazna has rapidly evolved and monetized and is already a market leader in promoting financial inclusion for the 35 million underbanked people in Egypt,” said Monica Brand Engel, co-founder and managing partner. of Quona. “Empowering consumers and micro-businesses with Khazna’s practical, user-centric and seamless financial super app can give millions of people across Egypt greater control of their financial lives. Quona is incredibly excited about Khazna’s roadmap to becoming the best-in-class digital super app for inclusive finance in Egypt.

“We have been following the Khazna team since its launch in Egypt and have seen the business gain momentum resulting in a rapidly evolving product offering,” said Suresh Samuel, Deputy Chief Investment Officer of Lendable. “As Lendable continues to grow its presence providing scalable debt financing to fintechs in Egypt, we are excited to support Khazna’s work to provide increased access to financial services to underserved people in Egypt.”

Arab Bank has been appointed security agent to activate Khazna’s credit facility with Lendable. “Supporting Khazna was a natural step for Arab Bank as a strategic investor to facilitate the company’s growth,” said Ahmed Ismail Hassan, Country Director of Arab Bank Egypt.

Khazna has raised a total of $47 million since the company was founded.

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