The fintech revolution is shaking the banking industry across West Africa where over 60% of the population does not have a bank account. Telecommunication companies have rushed in to plug this void with mobile money. This has been a huge success, as 60% of the population now has mobile money wallets.
Côte d’Ivoire financial application Djamo, has become a star for the region and is currently backed by Y combinator. Fintechs are primarily driven by the social aspect, financial inclusion of the informal sector, economically excluded and disadvantaged groups. Djamo’s success in Côte d’Ivoire can be attributed to its multi-layered response to the limitations of traditional banking.
The fintech startup was founded by Hassan Bourgi, who previously worked at Busportal and Régis Bamba who was working for MTN. To solve the banking conundrum facing most of the population, they decided to create a one-size-fits-all approach that accommodates multiple layers tailored to different user needs.
Djamos is looking to strengthen banking services around the UEMOA area, which is somewhere below 20%. Other services on offer are access cards for online transactions, and other investment and savings solutions. Djamo is mainly limited to mobile transactions, but also offers financial education to customers on its platform.
In 2019 Djamos raised a pre-seed investment of $350,000 from private investors, which was the largest round at that time in West Africa. For a while now West Africa remained largely overlooked by Western investors. However, the WorldBank gives the region 62.5% of Africa’s fastest-growing economies before 2021.