Norwegian fintech firm Wakandi has announced plans to raise $50 million (Ksh6.5 billion) to accelerate the digitization of Savings and Credit Cooperatives (SACCOs) across Africa, with Kenya as a key focus. The move comes as competition intensifies in the continent’s rapidly evolving financial services sector, where traditional cooperatives face growing pressure from digital-first disruptors.
At a Nairobi event marking Wakandi’s partnership with Mastercard East Africa, CEO Espen Kvelland outlined the company’s expansion strategy. “We have hundreds of thousands of customers waiting to go live. To meet that demand, we need capital,” Kvelland said. “Our mission is to create real financial impact in underserved communities.”
Wakandi’s core offering, the Credit Account Management System (CAMS), automates savings, loan processing, and regulatory reporting for cooperatives. Already operational in Kenya, Uganda, and Tanzania, the platform serves over 200 SACCOs, with ambitions to reach 2,000 within three years.
Many African SACCOs still rely on manual processes, limiting efficiency and financial inclusion. “We built this system with SACCOs, not for them,” said Wakandi COO Terje Width. “It’s affordable, scalable, and regulatory-compliant — helping members access credit, insurance, and investments digitally.”
The Mastercard partnership aims to further modernize SACCO operations by enabling digital payments via cards, wearables, and mobile apps. “Cash doesn’t build credit history,” said Shehryar Ali, Mastercard’s Senior Vice President for East Africa. “This collaboration will help small business owners access affordable credit while cutting remittance costs by up to 35%.”
Local Impact and Competition
Kenyan SACCO leaders report tangible benefits. Justa Mugambi, chairlady of Tigania Women’s SACCO, said Wakandi’s system allows her to track loans remotely. “They’ve trained us and supported members even in rural areas,” she noted.
But Wakandi isn’t alone in this space. Kenyan fintech Kwara, which digitizes SACCO back-end operations, has aggressively expanded since securing $7 million in seed funding. A recent exclusive deal with the Kenya Union of Savings & Credit Cooperatives (KUSCCO) grants Kwara access to over 4,000 SACCOs.
“We’ve barely scratched Kenya’s market,” Kwara CEO Cynthia Wandia said. The company, also active in South Africa and the Philippines, has seen a 100% client retention rate, attributing success to its automated onboarding and neobank app offering instant loans and insurance.
Kenya’s SACCO sector is substantial but fragmented. Of 5,000 registered cooperatives, only 176 are licensed for deposit-taking, per the SACCO Societies Regulatory Authority (SASRA). Yet they hold Ksh420 billion ($3.3 billion) in savings — 35% of Kenya’s national total.
Wakandi’s recent integration with Co-operative Bank of Kenya — a key player with a $628 million market cap — strengthens its position. “This partnership will onboard millions of users,” said Vincent Marangu, the bank’s Director of Co-operatives Banking.
Cairo-based MoneyFellows, which digitizes rotating savings groups (ROSCAs), also recently raised $13 million in pre-Series C funding, signaling investor confidence in Africa’s alternative finance sector.
A Long-Term Play
Norway’s Ambassador to Kenya, Gunnar Holm, praised Wakandi’s local approach. “This isn’t a foreign imposition — it’s a solution built with Kenyan SACCOs,” he said.
With $4 billion already invested in Africa, Wakandi now seeks strategic backers for its $50 million target. The challenge? Proving its model can outmaneuver homegrown rivals like Kwara while navigating Africa’s complex cooperative landscape.
For millions of SACCO members, the outcome could determine whether digitization brings genuine financial inclusion — or simply reshuffles the players in an age-old system.
