Informal women traders and youth are often overlooked when it comes to digital and financial inclusion. Many lack access to credit due to the absence of collateral and proper financial records for their businesses. However, innovative platforms like Tawaza Digital Varieties are working to change this narrative.
Tawaza Digital Varieties, a digital and financial inclusion start-up, is on a mission to serve informal women and youth. Winfred Nandawula, the regional programs director, explains, “We are a digital financial services provider currently doing savings, credit and payments. We mainly work with Women and Youth in the informal sector.”
The platform, developed by Instersolve in Kenya, allows Tawaza to onboard users and provide them with a comprehensive framework to learn about and engage with digital financial products. One of their offerings, Diva Grow, enables customers to save, invest, deposit, withdraw, and buy shares.
Another key feature is the digital ledger product, which helps small businesses record their financial data and use it to access credit. Nandawula emphasizes that Tawaza targets individuals with income sources who have been excluded from formal finance systems due to a lack of business records.
The platform is accessible through a mobile app and USSD, making it convenient for users. Since launching digital financial services in 2022, Tawaza has onboarded over 1,300 subscribers, with 200 active monthly users who save and access credit of up to UGX 500,000 regularly.
Tawaza’s innovative approach to financial inclusion has caught the attention of the 40 Days 40 FinTechs initiative, which featured the start-up on Day 38 of its fifth season.
By leveraging FinTech, Tawaza is empowering informal women traders and youth, providing them with the tools and resources they need to grow their businesses and achieve financial stability.
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