Renew Capital Angels backs Ugandan digital payment platform
Renew Capital Angels has invested in Ugandan digital payment platform Xente, a business neobank that streamlines payments and financial management for companies on a single, user-friendly platform. By simplifying these processes, Xente aims to drive digital transformation in a region where the majority of payments are still conducted manually.
According to a 2022 McKinsey report, only 5% to 7% of all payment transactions in Africa were completed through electronic or digital channels. Furthermore, a 2022 Backbase report found that the proportion of SMEs using digital banking services is even lower than that of retail customers.
”The scale of the problem Xente is solving and the market opportunity that exists for their offering is impressive. We are proud to be on this journey with Xente as it expands its business across the region,” says Renew Capital senior investment manager Diana Njuguna.
Xente CEO Allan Rwakatungu notes, ”We are excited that Renew Capital Angels has invested in Xente. This investment serves as a validation of our commitment to transforming Africa from underdeveloped to developed through our digital finance solution for businesses. Our focus remains on diligently executing our mission and addressing the real problems faced by our customers.”