In a strategic move to enhance financial inclusion across Africa, Standard Chartered’s innovation and ventures arm, SC Ventures, has committed $7 million to Furaha, a Dubai-headquartered lending fintech focused on purpose-driven financing in Africa. This investment, combined with Yabx Technologies B.V.’s technology transfer, brings the total funding for Furaha to $10 million. The collaboration seeks to transform lending ecosystems in sub-Saharan Africa, starting with education financing.
SC Ventures and Yabx Technologies, a Netherlands-based company under the Tech Mahindra Group, have formalized their partnership with shareholder and technology collaboration agreements to support Furaha. Co-founded by Yustus Aribariho and Ian Fernandes, Furaha aims to leverage SC Ventures’ risk management expertise and Yabx’s AI-driven lending platform to address the financial needs of underserved communities.
“We are glad to partner with like-minded innovators like Yabx and Tech Mahindra who share our vision of increasing financial inclusion and access. The partnership will help enhance purpose-driven financing in Africa and supports our work to rewire the DNA in banking,” said Alex Manson, CEO of SC Ventures.
Mohit Joshi, CEO and Managing Director of Tech Mahindra, emphasized the transformative potential of the partnership. “The transformative power of purpose-driven financing lies in its ability to bridge gaps in access and opportunity, particularly in regions like Africa. This strategic partnership aims to make financial solutions more inclusive and impactful.”
Africa’s demographic landscape — with over 600 million children under the age of 18 — underscores the urgent need for innovative financial solutions. For families earning under $500 a month, accessing affordable credit to fund education remains a significant challenge. Furaha’s inaugural focus on education financing addresses this gap by enabling parents to pay school fees through accessible and affordable loan products.
Furaha’s platform integrates Yabx’s advanced AI capabilities and alternative lending technologies to develop robust credit scoring systems using diverse data sets. This approach lowers the cost of delivering lending products while broadening access to credit for underserved communities.
The fintech has already established partnerships with Opportunity Bank, SchPay, and MTN MoMo in Uganda to pilot its offerings. “This partnership with SC Ventures is a big moment for Yabx. It marks our first step into the education financing space. The long-term impact of a partnership like this is huge, and we’re excited to work with Furaha as they positively impact education outcomes in Uganda and other African countries in the coming months,” said Rajat Dayal, CEO of Yabx.
Furaha’s approach aligns with global trends emphasizing sustainable and responsible financing. By prioritizing loans centered around education and gender equity, the platform aims to empower individuals while fostering economic development. The fintech’s operations, headquartered at the Dubai International Financial Centre (DIFC), position it as a regional hub to scale its impact across Africa.
The initiative reflects a broader push by SC Ventures and its partners to redefine traditional banking models through innovation. “Furaha’s vision is to create an ecosystem where financial solutions drive positive social change. By combining technology with purpose, we hope to unlock opportunities for millions of underserved individuals,” said Yustus Aribariho, Co-Founder of Furaha.
Following its launch in Uganda, Furaha plans to expand its offerings across additional African markets, targeting countries with high demand for education financing. The fintech’s scalable model and emphasis on data-driven lending are expected to attract further collaboration with local banks and financial institutions.