Ugandan Microfinance Startup Awamo 360 has raised funding worth USD1.7 million (approximately Ushs6 billion) to extend their service across the East African region.
Awamo which was launched in 2015 offers tech solutions to microfinance institutions, easing their work by digitising their business processes and enabling credit information sharing between lenders.
It offers a wide range of features ranging from biometric Software as a Service (SaaS), core banking and credit bureau solutions for unregulated microfinance providers.
Credit information sharing, along with the startup’s mobile biometric authentication, increases security, transparency and reduces loan defaults in the microfinance sector.
Its ability to operate on mobile allows the user to access their business from anywhere with a lot of ease and has an easy to use interface.
Among the investors include the German Investment and Development Corporation (DEG) and angel investors Bernd Wendeln, founder of Germany’s first social venture capital fund, and Jochen Berger, founder of web hosting and server solutions firm intergenia.
“This funding round is an exciting step forward for awamo.” CEO Benedikt Kramer reportedly said.
“With the additional funds and backed by a highly experienced and hands-on supervisory board we are now in the best position to roll out awamo 360 in all of Uganda.”
In 2015, Awamo raised USD 550,000 in seed funding.