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Tanzanian fintech firm NALA has officially expanded into Kenya by partnering with Equity Bank and Pesalink, aiming to tap into the country’s booming remittance market while bypassing the lengthy licensing process typically required for foreign entrants.
The collaboration enables NALA — a cross-border payments provider for both consumers and businesses — to channel diaspora transfers through Pesalink’s instant payments network and settle directly with Equity Bank. This integration allows recipients in Kenya to access funds in real time via mobile wallets or bank accounts.
Kenya’s remittance inflows surged by 18% in 2024, reaching a record $4.94 billion, according to the Central Bank of Kenya (CBK). Remittances now rank as the country’s second-largest source of foreign exchange after agricultural exports, with most transfers originating from the US, UK, and Europe — key markets where NALA has built a strong customer base.
“Removing friction from cross-border payments drives inclusion and reliability for millions of Kenyans,” said Kenn Lisudza, Product Officer at Integrated Payments Service Limited (IPSL). “This partnership, combining Equity Bank’s enabling role, Pesalink’s trusted infrastructure, and NALA’s global reach, will deliver faster, cheaper remittances for households and businesses.”
By aligning with Pesalink, which is owned by the Kenya Bankers Association (KBA) through IPSL, and leveraging Equity’s extensive network, NALA avoids the protracted licensing procedures overseen by the CBK. The approach mirrors strategies adopted by other cross-border payment providers like WorldRemit, who have similarly relied on partnerships to accelerate market entry.
Equity Bank highlighted the strategic nature of the partnership, framing it within its Africa Recovery and Resilience Plan. “This is more than a technical integration; it’s a strategic move to drive inclusive economic growth,” noted Samuel Ireri, Group Head of International Banking and Payments at Equity.
Founded in 2017 by Benjamin Fernandes, NALA’s expansion into Kenya represents its boldest push yet into East Africa’s most advanced financial services market. However, it faces stiff competition from established players, including Safaricom’s M-PESA, international remittance giants such as Western Union and MoneyGram, and banks with long-standing diaspora services.
“Every year, billions are lost to cross-border payment fees worldwide,” said NALA Chief Operating Officer Nicolas Eddy. “Our choice of infrastructure partners is essential to reducing costs and making cross-border payments more affordable for everyone.”
NALA’s ability to gain traction in Kenya will depend on how effectively it competes on cost, speed, and reliability in one of Africa’s most competitive payment corridors. Still, its partnership with Equity Bank and Pesalink provides a strong foundation to scale within the market.
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