NALA, an East African payments company, has received approval from the National Bank of Rwanda for a payment service provider (PSP) licence.
The licence approval unlocks a host of new payment capabilities including direct integration with banks and mobile money operators, disbursements such as for bill or school fees, and payment collections. This enables NALA to make international payments to Rwanda cheaper and more reliable.
It also signals the company’s commitment to further investment in Rwanda, recognising the country’s status as a global hub for business and investment.
Since its inception in Rwanda in 2021, NALA has been partnering with various companies to disburse remittance payments to both bank accounts and mobile money wallets. Over the past two years, the company has successfully processed over 10,000 transactions, aiding thousands of Rwandan diasporans in sending money back home.
This has resulted in more than one billion Rwandan Francs being sent from abroad to support local families and businesses. With the new PSP licence, NALA will be able to handle disbursements and collections in-house, reducing costs and increasing reliability for both senders and recipients.
“Enabling direct integration to banks and telcos allows us to address some of the most pressing and sticky challenges that individuals and businesses face when moving money across Rwanda’s borders,” said Nicolai Eddy, group COO at NALA.
“Our new PSP licence enables us to build these capabilities under our own roof, which means we can improve quality of service and reduce cost. We have worked closely with the Bank of Rwanda to complete the appropriate steps to become licensed as a payment service provider. With this new licence, NALA commits to supporting and collaborating with the Rwandan regulator and the relevant government agencies to accomplish our shared ambitions.”
With the PSP license in hand, NALA can now offer a range of enhanced services, including payment gateway solutions that allow merchants to collect payments through local channels such as mobile money or cards.
The approval of this licence also aligns with the rollout of the Rwanda Fintech Policy 2022-2027, which aims to establish Rwanda as a regional financial centre and enhance the nation’s financial inclusion.