Tuma: Pioneering Change in Congo’s Fintech Space with a Record Investment
An Unprecedented Investment in Congolese Fintech
In an exciting turn of events, Tuma, a fintech startup from Congo, has secured a significant funding of $500,000. This amount marks the highest investment ever obtained by a fintech startup in the Congo. Investors such as Visa, Visible Hands, and the Social Justice Fund were a part of this round.
Setting Sights on Expansion and Enhancement
The funds raised will be used by Tuma to grow into new markets and refine their product line. This development follows the success of the Congolese startup scene, which witnessed a massive funding influx of $38 million in 2023, up from a modest $1 million in 2022.
Tackling Financial Challenges in Congo
Tuma’s founders, Elijah Lubala and Mpilo Makae, aim to combat the financial exclusion prevalent in Congo. Traditional financial institutions are underserving the country, which sees only 6% bank penetration. Just one in four residents has a bank account, opening up opportunities for fintech firms like Tuma.
Innovative Digital Solutions by Tuma
Tuma’s primary offering allows merchants to accept card payments on their mobile phones. Given that nearly half the Congolese population owns a mobile, this solution is a practical one. With the help of software POS technology, any phone can act as a Point of Sale (POS) terminal, as customers can tap their cards on the phone’s back. To make this possible, Tuma has collaborated with financial institutions such as UBA Bank Group, Credit Bank Kenya, InTouch, Appiawave, Cellulant, and Seerbit.
The Impact of the Startup Act
Tuma’s fundraising victory also highlights the positive impact of the startup act introduced by the DRC government last year. President Felix Tshisekedi enacted this bill on September 8, 2022, intending to lure investors and support tech entrepreneurs. The law has made the country’s legal framework more appealing to investors.
As Hannah Subayi, co-founder of DRC Impact Angels, noted last year, the Act and other government actions will help Congo make its mark on the African tech map. The recent funding success of Tuma seems to validate her prediction.
In a nutshell, Tuma’s record funding suggests a bright future for Congo’s fintech sector. With innovative solutions and supportive government policies, Congo is ready to carve out its space in the global fintech arena.
Company website:
https://www.tumatap.com/
Founders on LinkedIn:
https://www.linkedin.com/in/mpilo-makae/
https://www.linkedin.com/in/elijah-lubala/
Image Source: Tuma