This archive report was first published on 29 August 2019.
On August 29, 2019, SympliFi, a UK-based fintech, launched a diaspora guaranteed loan service to enable residents in the diaspora fund entrepreneurship, education, savings, and healthcare of their friends and family in Africa.
Unlike traditional remittance services, SympliFi allows relatives in the diaspora to guarantee loans for their families back home, creating a more effective and sustainable way to provide financial support.
"We are excited to launch SympliFi as we believe it is time to reimagine how diaspora provide financial support to family in their home country, by leveraging technology in a more effective and sustainable way," said Maurice Iwunze, co-founder of SympliFi.
With operations in Zimbabwe, Nigeria, and Tanzania, SympliFi aims to add new countries and lending partners across Africa and other regions of the globe.
Traditionally, remittances/money transfers have been the singular form of financial services available for the diaspora to support their relatives back home. However, SympliFi focuses on what the funds will be used for in the home country and seamlessly connects the diaspora with a local financial institution to lend the family member back at home to fund their business or educational needs.
With SympliFi, the diaspora can enable the relative to easily get an affordable loan from their local financial institution to cover the costs themselves, by simply agreeing to back the loan. SympliFi's digital platform connects the diaspora and the financial institution in the home country to facilitate this transaction.
More importantly, SympliFi's unique and innovative platform enables the beneficiary to get their foot in the door to establish and build valuable credit history, which can be transformational in advancing their long-term financial well-being.
