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Ghanaian fintech startup Affinity Africa has secured $8 million in seed funding to expand its reach and redefine banking for underserved communities.
The funding round was led by Grazia Equity (Germany) and BACKED VC (London), with participation from Enza Capital, Launch Africa, Renew Capital, Finca International, Attijariwafa Ventures, and Impact Assets, alongside Eldon Capital, an early backer.
Bridging Ghana’s Banking Gap
Despite Ghana’s thriving mobile money sector and profitable traditional banks, millions remain unbanked due to high fees, excessive paperwork, and lengthy onboarding processes. Affinity Africa is positioning itself as a digital-first alternative, offering inclusive and affordable financial services tailored to both individuals and micro-enterprises.
According to the World Bank, over 60% of adults in Africa lack access to formal banking, and fewer than 10% of businesses can secure credit. Affinity aims to bridge this financial gap by providing seamless digital banking solutions that cater to the needs of the unbanked population.
Since launching in October last year, Affinity Africa has already onboarded over 50,000 customers, with 65% of users having never interacted with a formal banking institution before. Notably, over 60% of its customers are women operating in the informal sector.
A Digital-First Banking Model
Affinity’s platform is designed to serve both individuals and micro-enterprises, recognizing the fluid relationship between personal and business finances in African economies. The fintech offers:
- Free savings and current accounts with no transaction limits
- Automated credit scoring, based on users’ transaction histories
- Access to credit lines, after a few months of activity
The startup’s AI-driven lending model allows customers to qualify for loans with monthly interest rates between 3-7%. So far, Affinity has disbursed over $15 million in loans, with instant loan demand growing 30% month-over-month and a non-performing loan (NPL) rate of just 3%.
Scaling Financial Inclusion
With its new funding, Affinity Africa plans to scale its impact across Ghana, further enhancing its digital banking services and expanding access to credit for small businesses and individuals who have long been excluded from traditional banking systems.
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