International Finance Corporation (IFC), the private sector lending entity in the World Bank Group, has invested $10 million in FintechOS, as part of its support for the European startup’s low-code approach as a way to boost financial inclusion globally.
According to news reports, the investment is part of the previously announced $60 million Series B funding round for FintechOS.
World Bank’s statistics showed that around 1.7 billion people globally remain currently unbanked globally and to reach these people, banks are investing in technology that helps them digitise services.
Instead of lengthy and laborious “rip and replace” digital transformation projects that require high levels of technology expertise and investment, FintechOS’ low-code, self-service approach empowers institutions to build, test and scale digital products for unbanked communities in weeks rather than months.
Commenting on the IFC’s investment support for the start up, the corporation’s Investment Officer, Henrik Bläute, said: “Following extensive due diligence, IFC chose to invest in FintechOS because we recognize its potential to expedite the change that is happening in the financial services industry globally.
“By accelerating digitalisation, financial institutions will be able to serve more unbanked and underbanked individuals and communities”, Bläute added.
Similarly, the Chief Executive Officer, FintechOS, Teodor Blidarus, explains: “Our unique approach to financial technology is designed to overcome many of the barriers institutions face in serving those financially excluded.
“Banks, insurers and fintechs can now use the latest technologies to build hyperspecialized offerings that are commercially viable and meet the specific needs of unbanked and underbanked communities”, the fintech expert stressed.