Globally renowned fintech, NALA Payments Limited has been granted a money remittance License by the Bank of Uganda, expanding its capabilities in remittance and payments in Africa.
The license allows Nala to deliver services, offering more efficient and secure cross-border remittance transaction solutions including foreign exchange services.
This license from the Bank of Uganda comes on the heels of Nala announcing its $40 million fundraising, one of the largest Series A rounds in Africa.
The firm is using these funds to support its global expansion and enhance the reliability of payments to Uganda and Africa by developing its payment rails.
“With so many Ugandans in the diaspora, they can ably send money back home to their mobile money wallets at no charge and to their bank accounts. This is a great opportunity for Ugandans who need these remittance services,” Nala Chief Operating Officer, Nicolai Eddy.
He said the company operates in 21 companies in Europe, UK and USA and which a big number of Ugandans in these countries, it will be easy for them to send cash back home.
“From what we see at Nala through our Rafiki API and the data from the Bank of Uganda, a lot of remittances go towards basic needs like education, medical care, and other household expenses. While the process of remitting money has improved, there’s still more to do to make sure these remittances keep supporting people’s lives effectively. We have worked closely with the Bank of Uganda to meet all the requirements, which will help us make remittances more accessible for everyone. Plus, with this license, we will boost the supply of foreign exchange in Uganda, which is critical for economic growth.”
Sophie Birungi, an official from the diaspora department of the Ministry of Foreign Affairs said Ugandans in the diaspora will greatly benefit from the services of the new player.
She said many Ugandans abroad find it hard to send money back home , mainly due to safety issues and the high cost of sending the cash.
Birungi however said the new player will help fix the existing gap.
