The first global fintech fund for the underserved has closed with $141 million in capital contributions. What is the next step?
The Accion Frontier Inclusion Fund, managed by Quona Capital, invests in companies that innovate to expand access to financial services to underserved consumers and businesses in emerging markets.
It is estimated that some three billion people around the world are underserved by the financial sector, with limited or no access to quality savings, credit, insurance, and payments.
The Accion Frontier Inclusion Fund aims to leverage fintech innovations to radically improve the quality and availability of financial services for the underserved.
Alternative credit, payments, small and medium enterprise (SME) finance, and insurtech are among the solutions the Fund aims to accelerate.
Asian Focus
The Fund will focus on emerging markets in sub-Saharan Africa, Latin America, and Asia (with a particular emphasis on India and Southeast Asia) that have demonstrated the greatest potential for inclusive fintech.
An array of leading institutional investors including names such as AXA Impact Fund, JPMorgan Chase, Mastercard and MetLife have invested in the fund.
«Three billion people are left out of, or poorly served by, the global financial system, the world's first global fintech fund for the underserved, will help address this," said Michael Schlein, CEO and President of Accion.
To-date, the Accion Frontier Inclusion Fund has invested in several Asian fintechs including:
- Coins, a mobile payments platform leveraging the blockchain to provide a comprehensive suite of services for low income consumers in the Philippines
- NeoGrowth, the first company to offer card and other electronic payments receivables financing to SMEs in India
- IndiaMART, India's largest B2B listing and transactions platform for SME's
- CreditMantri, a credit advisory platform in India, providing consumers enhanced credit profiles and access to improved credit options
