- On March 15th 2023, Flutterwve fintech announced it had received two new digital currency licenses from the National Bank of Rwanda.
- Fluttwave fintech is preparing to deploy a range of products in Rwanda, including Send by Flutterwave.
- Rwanda’s government is keen to implement its Fintech Strategy 2022-2027.
Flutterwave, Africa’s second largest Fintech company, secures two additional digital currency licenses in Rwanda. This new milestone sets various agendas of the African Digital Payment Service Provider in motion, further promoting financial inclusion in the continent.
With the current digital currency ecosystem trying to recover from the FTX crash, this sudden turn of events steadily sets Africa back on track. This news also sheds light on hope for Flutterwave. Given its recent debacle with a financial security breach resulting in the loss of customer funds.
Africa’s second-largest fintech acquire two new licenses.
On March 15th 2023, Flutteerwve fintech announced it received two new digital currency licenses from the National Bank of Rwanda. It received its Electronic Money Issuer and Remitance Licenses to further its goals of increasing financial inclusion in Africa.
With these new digital currency licenses, Fluttwerwave will e able to launch new features beyond its borders. According to their reports, Africa’s second Largest Fintech company will now offer several services in Rwanda. They include money deposits, withdrawals, electronic funds transfers, and inbound and outbound remittance services. This privilege will be available for all 13.46 million individuals living in Rwanda. For some time now, Rwanda has steadily expanded its economic growth, and its government has shown interest in digital currency and blockchain technology.
Flutterwave fintech has targeted Rwanda for some time due to its expanding economy and business ventures. According to Rwanda’s National Insitute of Statistics, Micro, Small & Medium Enterprises (MSMEs) account for about 97% of businesses. Furthermore, these figures account for almost 55% of the country’s GDP, making MSMEs crucial to economic growth and job creation.
Africa’s second-largest fintech knew these statistics and made several preparations to attain such licenses. This comes in line with its goals for improving financial inclusion in Africa. Thus, targeting an African country that thrives on its citizen’s innovative minds in business can increase financial inclusion by offering a platform allowing cross-border payment services in Africa.
Fluttwave fintech is preparing to deploy a range of products in Rwanda, including Send by Flutterwave. It is an African cross-border money transfer solution allowing businesses to transact from various African countries. In addition, it will also launch Flutterwave for Business and its suite of products, including a Store, payment links, invoices and checkouts. These services will effectively boost individuals’ and businesses’ returns through the eCommerce market.
The steady incline of Africa’s second-largest fintech industry
Recently Fluttwerwae allegedly faced a security breach that resulted in losing $ 4 million in customer funds. Despite Flutterwave fintech denying these claims, it still took relative security and legal actions to investigate. The truth is still shrouded in mystery, but customers could not wait for such clarification. Since the incident, Flutterwave fintech has lost significant transaction volume.
Fortunately, with the acquisition of the new digital currency licenses, Flutterwave is determined as ever to claim the title of Africa’s largest fintech company. Olugbenga Agboola, its CEO, concurred, stating:
From our first transaction to over 400 million, we have remained committed to our vision of promoting financial inclusion and facilitating cross-border payments in Africa
Rwanda’s Fintech Strategy 2022-2027.
He further stated that Rwanda is one of Africa’s most innovative countries interms of digital technology. This is to establish cross-border payment services in Africa, and Rwanda is at the top of his list. “We are delighted for the vote of confidence in being granted these digital currency licenses.
We will leverage our extensive global reach and continuous growth in emerging markets with them. It will also help to provide MSMEs in Rwanda with the tools they need to stimulate the economy. In addition, it will facilitate seamless cross-border transactions for Rwandans and support the expansion drive of global and Rwandan businesses,” he stated.
Leah Uwiroheye, Flutterwave fintech’s East Africa Regional Lead, Regulatory and Government Affairs, added that this was a significant achievement for the company. Currently, plenty of fintech companies are trying to promote financial inclusion in Africa.
Despite being a noble cause, achieving it requires strategic planning and ensuring that such features are first well used in certain African countries. Rwanda is one of the few African countries trying to reform and adapt to the 4th Industrial Revolution. In doing so, the government is implementing its Fintech Strategy 2022-2027, and Flutterwave was able to take advantage of the opportunity offered to it.
Africa’s second largest fintech company continues to expand its horizon and facilitate cross-border payments in Africa. Furthermore, it’s steadily recovering its reputation. By employing digital technology to support business and stimulate economic growth, Flutterwave still has its eyes set on a broader scope.
According to Leah Uwiroheye, acquiring the new digital currency licenses is an outstanding achievement, but it is only a start. Its o only enables Flutterwave to provide safe, secure and seamless cross-border payment in Africa, and its primary goal is to provide services to the entire African continent.