Finja, Pakistan’s biggest dual-licensed SME lending platform, has announced a new capital injection as part of its $10 million Series A2 financing round. Notable investors participating in the round include Sturgeon Capital and HBL. This multifaceted investment round consists of equity, debt, and off-balance sheet funding. Following its initial involvement in Finja’s Series A1 round, HBL has now made a second investment in the company.
With this infusion, Finja will be able to finance projects worth more than $50 million over the course of the following 12 months, helping Pakistan’s SME sector realise its full potential.
In order to support its overall vision of empowering Micro, Small, and Medium Enterprises (MSMEs) and their supply chains with digital credit, Finja will now be able to scale up its current digital co-lending programme.
This financing represents an important step toward maximising the potential of Finja’s credit engine, which continues to demonstrate its scalability and accuracy and solidifies Finja as the long-term solution for SMEs across Pakistan.
The future of the financial services sector lies in collaboration between fintech and banks, according to Qasif Shahid, co-founder of Finja. moving away from vertical silos and toward embedded finance and open banking systems.
As a result, Finja is in a better position to provide digital products to small and micro businesses. He continued, “Through our association with HBL, we will now be turbo-charging digital lending to SMEs with this new injection and our laser focus on optimising our organization.”
According to Kamran Zuberi, CEO of Finja Lending Services, Finja is the first financial services company to offer credit to Karyana stores in small amounts of PKR 50,000 for terms of 7, 14, and 30 days so they can purchase supplies and boost sales.
The information we gather from our partnerships with various FMCG companies, hundreds of distributors, and new-age market aggregators that run mobile apps for small retailers to order supplies are how we rate these retailers.
With a total lending throughput of PKR 7 billion, Finja has become one of the top digital lending platforms in the nation as a result of providing about 150,000 loans to 35,000 Karyana stores across 30+ cities.
Additionally, Finja closely collaborates with FMCG distributors and assists them in obtaining upstream supplies on credit. Additionally, Finja offers specialised working capital lending lines to SMEs that have been evaluated by Finja’s in-house AI/ML algorithms.