AFRICA – International Finance Corporation has announced a US$75 million financing package for TerraPay, an Africa-focused digital payments provider, to boost access to affordable remittances and support livelihoods and business activity in countries across Africa.
The financing package includes a US$30 million loan from IFC’s own account, a US$15 million B Loan provided by asset manager ILX under IFC’s B Loan Program, and a combined parallel loan of US$30 million from development finance institutions OP Finnfund Global Impact Fund I and BIO.
The financing will help TerraPay expand its operations by partnering with more global money transfer operators and increasing the volume of transfers it processes across Africa.
The expansion will help reduce costs, enhance speed, and simplify international remittance transfers.
TerraPay customers can send money from 41 countries and receive money from 40 countries in Africa. African customers can send and receive funds within Africa and to and from markets across Europe and Asia.
“Our association with IFC goes back a long way, and as we continue our journey towards growth, their support continues to be invaluable,” said Ambar Sur, Founder and CEO of TerraPay.
“This has fueled our mission, enabling us to strengthen our infrastructure, expand our network, and invest deeply in technology and solutions that solve real-world problems.”
“As we deepen our partnership, I look forward to furthering our common vision to boost financial inclusion and accessibility, empowering families, individuals, and businesses across the African continent leveraging our vast global payments network.”
TerraPay streamlines the remittance process by integrating and connecting major markets and money transfer operators such as Western Union, MoneyGram, and Ria. It supports household incomes and small businesses and contributes to overall economic development.
“At IFC, we are committed to creating opportunities for inclusive growth in Africa, including by leveraging digital solutions to bridge financial gaps and improve livelihoods,” said Aliou Maiga, IFC’s Regional Industry Director for the Financial Institutions Group for Africa.
“Through this partnership, we aim to support a robust digital payment infrastructure that empowers individuals and small businesses.”
In 2019, IFC invested US$8 million in TerraPay’s Series A funding round. The investment announced today aligns with the World Bank Group’s goal of achieving universal access to financial services, which is crucial for improving the lives of disadvantaged and vulnerable populations.
TerraPay partners enza
Payment technology companies enza and TerraPay have partnered to transform the payment acceptance landscape and simplify cross-border payments for African businesses.
Millions of businesses in Africa need help to make or receive cross-border payments in a timely and cost-effective manner.
The partnership aims to address this problem by leveraging TerraPay’s access to over 7.5 billion bank accounts, over 2 billion wallets, and over 6 million cards globally.
Furthermore, enza will harness TerraPay’s connectivity into over 2.1 billion mobile wallets globally, facilitating the acceptance of these wallets alongside other domestic and international payment brands both online and in-person.
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