Nala Obtains $50 Million Credit Facility to Expand Payment Network

Tanzanian fintech Nala has secured a $50 million credit facility from private credit firm Liquidity to support its growing stablecoin payment network. The funding will enable faster business payments between emerging markets, Europe, and the United States.

The initial tranche of $25 million is provided through Mars Growth Capital, a joint venture between Liquidity and Japan’s MUFG Bank. This facility allows Nala to pre-fund transfers, expand payment corridors, and accommodate larger enterprise clients utilizing its infrastructure for collections and payouts.

Strategic Shift Towards Debt Financing

The deal reflects a broader trend among fintech companies processing high payment volumes—opting for credit facilities over equity raises to finance operations while minimizing shareholder dilution. Nala currently retains more than half of the $40 million raised in its 2024 equity round, positioning the debt financing to support expansion initiatives rather than balance sheet needs.

“Our business was growing at a rate exceeding 100% annually,” explained founder and CEO Benjamin Fernandes. “We needed additional funding to handle the increasing demand for our payment services.”

From Remittances to Enterprise Payments

Originally founded in 2017 as a remittance app serving African diaspora communities, Nala evolved into a business payments provider through its Rafiki enterprise platform. The network now connects over 249 banks and 26 mobile money services across 16 countries.

Stablecoins Address Key Market Pain Points

The demand for stablecoin-based payment systems has surged as businesses seek faster, cheaper alternatives to traditional cross-border transfers—particularly in emerging markets where bank delays and foreign exchange costs remain significant challenges. Liquidity structured the facility based on Nala’s real-time payment flows rather than a conventional venture debt model.

“We designed a financing solution that recognizes Nala’s compliant stablecoin rails and rapid growth across emerging market corridors,” stated Paul Brodie, Liquidity’s global head of investments.

While transaction volumes and revenue figures remain undisclosed, Nala anticipates several enterprise contracts will launch later this year, underscoring the growing corporate interest in secure, efficient cross-border settlement networks.