Laina Finance is enabling the purchase of electronic devices on credit. #40Days40FinTechs S3 Day 47

With the advancement in technology, there is always a need to upgrade from one smartphone to another, from one television set to another, from one camera to another, etc. For some, such upgrades are necessary in order to meet their daily commitments such as work, family, and community responsibilities while for others, upgrading from one device to another is trendy and a show of class and social status. For whatever reason, the cost of the latest devices is usually a turnoff for the majority. As such, they can’t hold the phone of their dreams because they can’t afford a single one-off payment. Such scenarios are what Laina Finance is addressing in Tanzania. Through partnerships with mobile network operators (MNOs) and finance institutions, Laina Finance is enabling hundreds of Tanzanians to acquire their preferred devices on credit and pay later in installments until the total cost is cleared. Laina is a Finnish word that means a Loan in English. Laina Finance is an integrated non-deposit-taking micro-finance service provider that extends payment plans for the purchases of goods and services by allowing customers to pay over a period of three to nine months. It offers micro-finance payment plans for electronic devices (smartphones and other home gadgets) and insurance policies. The company has developed a digital financing platform that includes risk management, a credit decision engine, and a loan management system. This platform enables Laina Finance to make instant decisions on the issuance of micro-loans or purchase finance plans. Laina Finance is participant number 47 in the 2022 40 Days 40 FinTechs initiative organized by HiPipo in partnership with Level One project, Mojaloop, ModusBox, and Crosslake Tech and supported by the Gates Foundation. Laina Finance is also the final participant of this year’s edition. The HiPipo 40 Days 40 FinTechs team had an interview with Tonny Missokia, a business development director at Laina Finance. Here is what he had to say about Laina Finance, FinTech in Tanzania, and overall Financial Inclusion efforts.