Indicina, a Nigerian credit reference agency, has announced that it has raised $3 million in seed funding double down on its credit value chain. Target Global led the round with participation from Greycroft and RV Ventures. Ricardo Schaefer, Partner at Target Global will also join the board.
The new funding round will accelerate the expansion of Indicina into other African markets. It will also enable the startup to reinforce its key product offerings, build more products for consumer credit recommendation, and bolster its infrastructure.
Indicina is a digital lending platform that provides analytics-driven credit decisions for lenders. It offers technology solutions to empower businesses to offer credit to customers faster, more securely, and at scale. It was founded by Carlos del Carpio, Jacob Ayokunle, Yemi Ajao, and Yvonne Johnson in 2018.
Africa has a poor credit infrastructure and low-risk innovation. Only 11% of its population have their credit information recorded by private credit bureaus vs 16% in East Asia and 47% in Latin America. And among African banking customers, only 17% have consumer loans — less than half of those with a transaction product.
Ricardo Schäefer, Partner at Target Global said “We are firm believers that access to credit is a core facet of financial inclusion and are excited to back Indicina, whose goal is to ensure that eligibility for loans will no longer be determined by incomplete creditworthiness assessments.”
“Limited access to credit in Africa is a data problem, not a creditworthiness problem. We are unlocking opportunities by eliminating the complexity associated with accessing the data necessary to make underwriting decisions. We are excited about Indicina’s ability to expand the breadth of financial services available to consumers and businesses across Africa.” added Will Szczerbiak, Partner, Greycroft.