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New app launched to help Africa’s retailers source capital

Africa-centric Fintech platform Nomanini has launched a new supply chain finance solution called StockNow that connects FMCGs and financial service providers to serve Africa’s informal retailers at scale.

The app makes it possible for informal micro- and small retailers to purchase stock digitally, Nomanini claims.

According to a statement by the company, while global FMCG value chains reach ten million informal retailers in Africa, there is a lack of access to responsible and affordable finance solutions for these retailers to keep their shelves stocked, attract customers and grow their businesses.

Nomanini’s CEO, Vahid Monadjem, says, “In response to challenges we saw retailers face during the pandemic and related lockdowns, we established the opportunity to accelerate the development of our digital working capital solutions to provide tools to help retailers keep their shelves stocked with essential goods.”

FMCG challenges

FMCGs scaling into emerging markets encounter challenges.

Without affordable working capital, many informal retailers go through periods when they cannot pay suppliers to restock their inventory due to a lack of cash flow at the time of delivery.

As a result stock is unexpectedly returned to the depot, leading to high operational costs.

This is where access to available responsible working capital will add value to retailers.

“By digitising the supply chain, StockNow enables FMCGs to increase operational efficiency by unlocking trade data and gaining visibility into the sales and preferences of informal retailers. Automating settlements and incentivising e-payments within the value chain also lead to improved efficiencies,” the Fintech company adds.

For Nomanini, the launch of StockNow marks a big shift from enterprise B2B technology solutions to a move into embedded stock advances in the FMCG value chain.

Nomanini has partnered with Nestlé ESAR to launch and go live with the solution in Tanzania.

StockNow will be rolled out to informal retailers in the East African country, with plans underway to scale the solution across the continent.

In its release, Nomanini specifies Mozambique, DRC, Egypt and Uganda.

Fintech reach in Africa

Experts within Africa’s Fintech market have warned that while the continent has made advances in Fintech and mobile financial services – especially in countries like Egypt, Kenya, Nigeria and South Africa – issues like internet connectivity, infrastructure, and regulation represent significant and ongoing challenges. 

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