Khazna, an Egyptian financial super app that provides underprivileged people and micro-businesses with easy-to-use, technology-driven financial services, has received a Series A investment of US $38 million in stock and debt to accelerate its expansion ambitions.
Khazna was launched in 2020 as an earned income access product, but it has since evolved into a multi-product that caters to the 50% of Egyptians who use smartphones but do not have access to official financial services. It now provides general credit, buy now pay later (BNPL), and bill payment services.
The business has now raised $38 million in Series A investment to expand its efforts in Egypt to replace cash-based alternatives. Khazna has now raised a total of $47 million in funding since its establishment.
Speedinvest, Nclude, Khawarizmi Ventures, Algebra Ventures, Accion Venture Lab, Disruptech, AB Accelerator by Arab Bank, and CVentures, among others, participated in the equity investment headed by fintech-focused impact investor Quona Capital. Lendable provides the firm with debt finance, while Arab Bank Egypt serves as the transaction’s security agent.
“The unprecedented evolution of Egypt’s nascent fintech industry is a testament to the significant efforts by the Central Bank of Egypt towards financial inclusion and a less-cash society. We are aligned with CBE’s vision and Khazna at its core believes that world-class financial services should be available to all. We are combining cutting-edge technology and relentless user obsession to build the best experience for our users,” said Omar Saleh, Khazna’s co-founder and CEO. “We continue to experience exponential growth in network effects created by our more than 150,000 active users, our partners, and Egypt’s largest merchants.”
Quona Capital’s second investment in Egypt is Khazna, which Monica Brand Engel, the firm’s co-founder and managing partner, said has swiftly expanded and monetised to become a market leader in the quest for financial inclusion for Egypt’s 35 million unbanked.
“Empowering consumers and micro-businesses with Khazna’s convenient, user-centric, and transparent financial super app can enable millions across Egypt to gain greater control over their financial lives. Quona is incredibly excited about Khazna’s roadmap to be the category-leading digital super app for inclusive finance in Egypt,” she said.