Watu Credit Limited
Status: Approved investmentWhy disclosure?
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In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Watu Credit Limited is a customer-centric company that offers lease to own asset financing for motorcycles and three-wheelers that are used as taxis, creating an income generating business opportunity for mostly young male borrowers in rural areas across East Africa. Watu is a fast-growing FinTech company that lends primarily through mobile services and balanced with a high touch approach to monitoring to ensure borrowers are able to gain asset ownership. Its HQ is in Mombasa, Kenya with operations across Kenya and with a separate entity operating across Uganda.
What is our funding objective?
Contribute to the development and implementation of Watu’s client satisfaction baseline survey, which will help to better understand its social impact, areas of opportunity, and clients’ needs. Specifically, this will include assessing the demographic of Watu’s borrowers, change in income levels as a result of Watu’s financing and the availability / access to alternative financing. This information will enable Watu to better understand whether they are achieving their desired impact.
Why do we fund this investment?
This project represents an opportunity to better understand the market where Watu works and its clients’ needs, as well as will contribute to FMO’s understanding of the potential impact of FinTech companies more broadly. Additionally, it provides Watu with first hand feedback on their products and what to do to ensure they are achieving their desired impact and keeping clients satisfied and engaged.
More investments
| Date | Total FMO financing |
|---|---|
| 12/4/2024 | EUR 0.06 MLN |
| 12/9/2022 | USD 10.00 MLN |
- Website customer/investment
- https://watuafrica.com/
- Region
- Africa
- Country
- Kenya
- Sector
- Financial Institutions
- Publication date
- 12/22/2022
- Effective date
- 12/16/2022
- Total FMO financing
- EUR 0.03 MLN
- Funding
- MASSIF
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - C