The state-owned provider of digital payment solutions, eFinance Group, has invested $5 million in Nexta, an Egyptian company that intends to release its banking app in the upcoming months.
This information comes after Nexta disclosed a $2 million pre-seed round in March, which was led by Egyptian early-stage VC Disruptech.
Although it will power its cards and technology, the Nexta app will have a partner bank to manage payments and serve as a middleman between itself and the CBE.
Nexta, a firm started in 2021 by Ahmed Hisham, aims to upend the Egyptian fintech industry with its “next-generation banking” app and card.
The Nexta card, according to the business, will combine customers’ current payment cards, facilitating easier money transfers and offering capabilities like spending monitoring.
The business is working to develop next-generation banking and give customers a smooth user experience, according to the co-founder and CEO.
Adding that the firm intends to generate income from interchange fees, Nexta wants to offer easy and rapid onboarding, card aggregation, linking all of your cards, and numerous methods of cash-in features.
With its preliminary launch, Nexta will focus on budgeting and spending monitoring first.
Then, in order to solve the Egyptians’ pinpoints, it will introduce new features every month or every three months.
To build anticipation for its launch, Nexta has restricted enrollment on its waitlist to website signups. Hisham refused to specify how many customers are in the queue for the business.
Ibrahim Sarhan, the chairman and CEO of eFinance, said in a release that the investment in Nexta is consistent with Egypt’s strategy and goal for its digital transformation by 2030, including the Group’s plan to optimize its assets and investments by making investments in the fintech sector.
Nexta is one of the promising businesses that the Group has funded as part of numerous focused investments, Sahar said.
It’s important to note that the Group helped form Nclude, a fund that makes investments in startup fintech companies, which will help the industry’s present and future developments in Egypt.