Africa focussed microfinance software company Musoni Services has raised an equity investment from Alterfin; a Belgium based Co-operative society. Existing shareholders of the company joined Alterfin in this round. The funds will be used for expansion into new markets, though the details of the transaction remain undisclosed.
Speaking about the investment, Jean-Marc Debricon, Alterfin’s General Manager said, ‘Alterfin understand first-hand the challenges that many rural microfinance institutions have when it comes to technology. We believe that Musoni can revolutionise the way financial services are delivered across the industry and particularly in rural regions where financial inclusion is at it’s lowest. The Musoni team has consistently demonstrated the system’s impact, and we are excited to work with them continuing our shared social mission.’
Musoni provides banking system to microfinance institutions in emerging markets, helping them to leverage technology and improve efficiency. The company claims to be used by a hundred financial institutions across 14 different countries (10 in Africa and 4 in Asia). Musoni BV is an investment company based in Amsterdam. It currently holds investments in Musoni DTM in Kenya and Musoni Services in Amsterdam.
The offerings of Musoni also include an integrated platform for multiple mobile money transfer services including SMS module for sending automated payment reminders. Apart from the core banking software, it has developed a tablet app for loan officers to process offline data collection and CRB integrations to assist in the lending decision.
To make the system accessible to MFIs, the Musoni System uses licenced SAAS pricing model; the annual fee is based on the size of the MFI licensing the system.
Alterfin was established in 1994 and focusses primarily on rural areas in low-income or middle- income countries around the world.