Nigeria’s fintech startup Gray chooses Kenya for its East African hub
NAIROBI, Kenya, May 11 – Nigerian fintech startup Gray has chosen Kenya as its East African hub as it expands its operations into the greater East African market.
The expansion comes after the company collected NOK 273.8 million from investors.
Investors included Y Combinator, Soma Capital, Heirloom Fund, True Culture Fund, angel investors Alan Rutledge, Samvit Ramadurgam, Karthik Ramakrishnan and other high-profile investors.
With over 300,000 users, the platform has gone live in the country as well as Tanzania.
It will also see expansion opportunities in Uganda and Rwanda soon.
Gray chief executive officer (CEO) AIdorenyin Obong says the Nairobi office will help the firm navigate into the greater East African Community (EAC).
“Kenya’s diaspora remittances are very vibrant as remittances to Kenya have increased tenfold over the past 15 years and have reached a record of US$3.718 million in rv,” Obong said.
“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,” he added.
A World Bank report released last year ranked Kenya among Africa’s top three recipients of diaspora remittances, behind Nigeria and Ghana.
“More Kenyans work remotely for companies abroad where payments tend to be tedious and expensive,” Obong said.
“Our solution allows African freelancers to have foreign accounts and seamlessly receive money worldwide and be globally competitive.”
Founded in 2021, Grey, a Y-combinator-backed fintech startup, offers an international money transfer service that enables users to send and receive international payments quickly and without restrictions.
It enables customers to have virtual international bank accounts and cards for free and enjoy a seamless overseas payment process.
Users can open a foreign USD, GBP and EUR bank account for free, send money to the UK and Europe and receive payments from over 88 countries.
Last year, the technology firm partnered with Cellulant to be the company’s payment processor, empowering 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 banking service for start-ups where they can get instant international payments and currency conversions for their businesses.
Companies can also open US bank accounts online with no minimum balance, monthly fees or hidden fees.
The company also offers conversion directly to local currency.
Likewise, it allows users to receive foreign payments in their preferred foreign currency and withdraw directly to mobile money or their local bank account.
