Tala Receives Sh16.1 Billion Funds from The Stellar Development Foundation

Digital lending firm Tala has received Sh16.1 billion funds from a list of investors and the capital will be used to facilitate the launch of its new mobile-first account services and crypto solutions for emerging markets.

The firm intends to use the funds to fasten and increase the rollout of its new financial account experience therefore providing customers with fresh tools to borrow, save and manage their money.

Tala has already made plans to grow its team across Kenya, the Philippines, Mexico, India and the United States. This will enable Tala to pull forward plans for both geographic and product expansion, including crypto offerings. Tala’s evolved account will offer an expanded range of personalized credit options, including longer-term loans and credit that can be configured to match customers’ income cycles.

Since it launched in Nairobi in 2014, Tala has delivered more than $2.7 billion in credit to more than six million customers across Kenya, the Philippines, Mexico and India. On a daily basis, more than 12,000 new users globally sign up for Tala’s services.

To strengthen the Stellar network, Tala will also use the funding to develop the first mass-market crypto product for emerging markets, advancing a core promise of digital currency ecosystems by making more affordable and equitable financial tools available to populations that can benefit the most from the crypto economy.

As part of this fundraising, Paul Gu, co-founder of Upstart and Denelle Dixon, CEO and Executive Director of the Stellar Development Foundation, have joined Tala’s board of directors.

“Tala has spent the past seven years delivering critical and valued services in markets where the financial system is fundamentally broken for millions of people,” said Shivani Siroya, founder and CEO, Tala.

Siroya added that the new investment will speed up the firm’s path to becoming the primary financial account for the global underbanked and helping millions more people make progress in their financial lives.

“Joining forces with Tala to improve access to financial services for millions of people in emerging markets is exactly aligned with our mission,” Stellar Development Foundation CEO Denelle Dixon said.

In Kenya, Tala has combined forces with other mobile lenders to improve the sector by partnering with lawmakers and regulators to establish a safe business environment for both stakeholders.