Nigerian fintech startup Fairmoney is looking to expand its lending operation to include the financing of smartphones and vehicles, beginning with motorcycles, an executive told Semafor. It is the latest push among African fintechs to broaden services and capture a larger share of customers’ business.
Fairmoney is part of an increasingly competitive digital lending scene in Nigeria where startups offer quick cash loans to individuals who typically struggle to secure credit from traditional commercial banks. The startup had relied on venture capital for its operations, having raised $57 million since its founding in 2017 from investors that include US giant Tiger Global.
But Fairmoney is “now a primarily deposit-funded bank” that looks “more like your normal bank where a lot of the loan book and operations are funded from deposits,” Henry Obiekea, managing director for Nigeria, told Semafor. Fairmoney extended loans worth 150 billion naira ($111 million) last year, a double digit percentage rise over 2024, according to Obiekea.