Nigeria Fintech Startup Gray chooses Kenya as its East African hub

• Grey’s platform is live in Tanzania and Kenya with over 300,000 users
• Kenya’s gig economy is on the rise, with the growth of digital platforms that connect workers and traders with potential customers
• Kenya has been ranked among Africa’s top three recipients of diaspora remittances behind Nigeria and Ghana

Nigerian Fintech startup Gray has chosen Kenya as its East African hub as it expands operations in the largest economy in the East African community.

This comes after $2 million in seed funding it raised to expand in the East African market as it pursues opportunities in Uganda and Rwanda in the near future. The firm’s platform is live in Tanzania and Kenya with over 300,000 users.

Gray CEO AIdorenyin Obong says opening offices in Kenya will help the firm navigate its planned operations in other countries in the East African Community.

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“Kenya’s diaspora remittances are very vibrant as remittances to Kenya have increased tenfold in the last 15 years and have reached a record of US$ 3,718 million in rv. This phenomenal growth points to the importance of remittances as a source of foreign exchange for the country, equivalent to more than 3 percent of Kenya’s GDP, Obong said.

According to a World Bank report released last year, Kenya has been ranked among Africa’s top three recipients of diaspora remittances behind Nigeria and Ghana.

Also, Kenya’s Gig economy is on the rise, with the growth of digital platforms that connect workers and traders with potential customers.

A 2022 Mercy Corps report on the gig economy shows that the Kenyan online gig economy is valued at $109 million and employs 36,573 workers. It is projected to grow at an annual rate of 33 percent, with the total size of $345 million and employing 93,875 workers by 2023.

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“More Kenyans work remotely for companies abroad where payments are tedious and expensive. Our solution allows African freelancers to have foreign accounts and seamlessly receive money worldwide and be globally competitive,” he added.

Last year, Gray partnered with Cellulant as the company’s payment processor that powers payments to thousands of Grey’s customers and Moringa School to raise awareness and empower digital nomads on financial literacy in partnership with Safaricom, Antler and Nairobi Garage.

The company has also privately launched Gray Business, a borderless business bank for start-ups, where they can get instant international payments and currency conversions for their business. Companies can also open US bank accounts online with no minimum balance, monthly fees or hidden fees.

Founded in 2021, Grey, a Y-combinator-backed fintech startup, offers a unique international money transfer service that enables users to send and receive international payments quickly without restrictions.

Gray enables customers to have virtual international bank accounts and cards for free and enjoy a seamless overseas payment process. Users can open an overseas USD, GBP and EUR bank account for free, send money to the UK and Europe and receive payments from over 88 countries.

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The company also offers conversion directly to your local currency so you can easily use it on the app. Gray allows users to receive foreign payments in their preferred foreign currency and withdraw directly to mobile money or their local bank account.

Grey’s seed funding round included participation from Y Combinator, Soma Capital, Heirloom Fund, True Culture Fund, angel investors Alan Rutledge, Samvit Ramadurgam, Karthik Ramakrishnan and other high-profile investors.

Source: TUKO.co.ke