Fawry for Banking Technology and Electronic Payments will establish a consumer finance company, Fawry Consumer Finance, with an initial capital of EGP 10 million.
The new company will enable Fawry to expand its existing offering of financial solutions, which are currently provided through partner banks and financial service entities, and the targeted consumer categories, according to a press release on Thursday.
Launching Fawry Consumer Finance, which will be fully owned by Fawry and its subsidiaries, is in line with the government vision and the Financial Regulatory Authority’s (FRA) strategy to promote financial inclusion and digital transformation.
Fawry received the necessary license from the FRA and will directly launch the new company in 2022 to enable its customers to have access to credit through multiple products including Buy Now Pay Later (BNPL).
The CFO of Fawry, Abdel Meguid Afifi, said: “In the last couple of years we’ve seen huge growth of buy-now-pay-later transactions. We also believe that providing value-added services at checkout for the merchant will be key to growing our acceptance business and deepen the utilization of our POS network.”
Meanwhile, Afifi commented: “The offering combines the two, allowing Fawry to meet real needs of consumers to gain access to credit and empowering merchants to offer their customers multiple options to pay on their own terms.”