FinTech raises $1 million in seed funding

KARACHI: Finja, the financial technology firm in Pakistan, raised one million dollar in a seed financing round from Vostok Emerging Finance, a major international venture capital, a statement said on Monday.

“The company plans to use the investment to aggressively grow in its target segments within the country,” the statement said. “Finja is currently a super-agent for FINCA Microfinance Bank Limited in their branchless banking endeavored.”

Finja’s goal is to offer innovative financial services to Pakistan’s rapidly growing digitally literate population by displacing cash.

“As Pakistanis continue to rapidly adopt digital mediums, there is an opportunity to transform lives by re-inventing business models and removing friction through digital interventions,” the statement quoted Qasif Shahid, co-founder and chief executive officer at Finja as saying.

Monis Rahman, co-founder and a board member of the company said this initial seed financing round will enable Finja to demonstrate the power of digital-by-design financial services and is just the beginning of our journey.

Vostok Emerging Finance Managing Director David Nangle, will join Finja’s board of directors and play a key role in helping guide the company with the fund’s extensive experience in growing FinTech-led initiatives in emerging markets.

“We are delighted to partner with a truly world-class team in one of the most exciting FinTech markets globally with massive untapped potential,” said David Nangle, “Pakistan’s rapidly growing 3G/4G enabled smartphone subscribers, supported by a progressive regulatory framework, are a game changer for providing digital financial services to the country’s 200 million under-banked population.”

Tel lex np.16pc) and cigarettes (1.12pc).

Prices of chicken, however, decreased 4.51 percent, followed by fresh fruits (2.51pc), pulse moong (0.94pc), pulse mash (0.88pc), vegetable ghee (0.36pc), tea (0.24pc) and dry fruits (0.07pc) in July over the preceding month.

The PBS data showed that prices of tomatoes increased 58.41 percent in July over the same month a year ago, followed by gram whole (49.77pc), pulse mash (47.13pc), pulse gram (45.81pc), Besan (42.19pc), fresh vegetables (36.84pc), potatoes (32.11pc), cigarettes (17.75pc), betel leaves and nuts (16.12pc), pulse masoor (9.38pc), tea (8.59pc) and readymade food (5.88pc).

Year-on-year, prices of onion, chicken, rice, cooking oil, pulse moong, vegetable ghee and wheat decreased 23.35pc, 18.91pc, 9.22pc, 5.97pc, 2.96pc, 2.72pc and 2.32pc, respectively.

Food price inflation, which holds the one-third weight in the CPI basket, rose 3.91 percent in July over the same month a year ago and 2.68 percent over the preceding month.

Noticeably, price inflation for the perishable food items surge 14 percent plus both month-on-month and year-on-year.  

Prices of housing, water, electricity, gas and fuels shot up 5.07 percent in July over the year. Month-on-month, they inched up 0.91 percent. Education got dearer 7.31 percent in July over the same month a year ago.

Its cost, however, inched down 0.23 percent month-on-month.