Tuma Ventures Limited, has secured a Payment System Provider (PSP) license from the Bank of Tanzania (BoT). This milestone allows the Nairobi-based fi
Tuma Ventures Limited, has secured a Payment System Provider (PSP) license from the Bank of Tanzania (BoT). This milestone allows the Nairobi-based fintech company specializing in “softPOS” technology to expand its financial services in Tanzania, enabling real-time payment processing for merchants, mobile wallet integration, and liquidity management solutions for fintech firms. These offerings aim to enhance financial inclusion and drive economic growth in the region.
Receiving the PSP license demonstrates Tuma’s compliance with regulatory requirements and paves the way for it to offer a broader range of financial solutions within Tanzania. This achievement builds upon Tuma’s existing foundation as a licensed Payments Institution in the UK, which serves as the backbone of its remittance services in East Africa. The company remains dedicated to regulatory compliance, financial innovation, and service excellence across its markets.
Last year, Tuma collaborated with Nigerian fintech company Interswitch to launch Tumatap, a contactless payment solution in Kenya. This initiative focuses on simplifying transactions for businesses and consumers, with a particular emphasis on supporting Micro, Small, and Medium Enterprises (MSMEs).
softPOS technology
Tuma’s “softPOS” technology enables smartphones to function as secure payment terminals, allowing businesses to process card and digital transactions without the need for additional hardware. This approach significantly reduces operational costs and promotes digital payment adoption among small and micro-business owners who have traditionally relied on cash-based transactions.
Now operating as a licensed PSP in Tanzania, Tuma aims to transform cross-border payments by delivering cost-effective, secure, and efficient financial solutions. These services comply with international standards while catering to the specific needs of local customers. This expansion aligns with Tuma’s broader mission of facilitating seamless financial interactions for East Africans living abroad, enabling them to support their families and communities back home with ease.
Tuma’s entry into the Tanzanian market follows a trend of fintech expansion in the region. In 2023, Tanzanian fintech startup Nala obtained a PSP license, allowing it to process cross-border and local transactions independently. Similarly, in March 2024, Nigerian neobank Kuda Technologies secured a Payment Service Provider (PSSP) license in Tanzania, reflecting the increasing interest of fintech companies in East Africa.
In summary, Tuma Ventures’ acquisition of a PSP license from the Bank of Tanzania marks a significant step in its mission to provide secure, reliable, and accessible financial solutions. With a commitment to innovation and regulatory adherence, Tuma is well-positioned to contribute to financial inclusion and economic development across Tanzania and the broader East African region.