Blnk, a fintech providing instant consumer credit in Egypt, raises $32M in debt and equity • TechCrunch

Credit card penetration in Egypt is low, with just over 4 million cards used in a population of over 100 million people. As such, people in the country have little or no access to credit, given the few other options that exist in the market.

One of these options, consumer loans, is being explored by Blnk, a fintech launched last October. The digital lending platform partners with Egyptian merchants, allowing them to sign up customers at the point of sale and provide financing to purchase items such as electronics, furniture and automotive services in installments of 6 to 36 months.

Blnk said it has raised $32 million, money divided into different stages and types of funding: $12.5 million in seed and pre-seed rounds (led by Emirates International Investment Company of Abu Dhabi [EIIC], Sawari Ventures and other investors), debt financing for $11.2 million and issuance of securitized bonds for $8.3 million. It plans to “accelerate financial inclusion within underserved communities across the country” and support its “powered by AI” credit infrastructure.

Customers using Blnk at the point of sale need a national ID to get started, after which they can get financing in three minutes, according to the company. “It’s a very fast service,” said Amr Sultan, co-founder and CEO, in an interview with TechCrunch. “And by being there at the point of sale, we help increase conversion rates and bring affordable products to significantly underserved populations. We are very focused on financial inclusion, especially how to underwrite people who have no credit history.”

Sultan, who founded the company with tarek elsheikh, said Blnk does this through its proprietary credit underwriting and risk scoring model that assesses customers’ risk and ability to repay their debts. So far, Blnk claims to have spent more than $20 million in loans through a network of more than 300 merchants (half of whom are active) to more than 60,000 customers who pay an average of 2.6% monthly interest.

Joseph Iskander, chief investment officer at leading investor EIIC, speaking about the investment: “We are convinced that the Egyptian market and its ecosystem of startups present a compelling opportunity for regional and international investors, and we are committed to identifying and investing in businesses that create value. We are pleased to partner with Blnk to drive financial inclusion and economic development in Egypt, and look forward to working with the team to achieve their goals.” Other fintechs offering loans and other financial services in Egypt include MNT-Halan, MoneyFellows, and Khazna.

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