Pact provides investment in Tala to increase access to financial services for underserved groups

Pact provides investment in Tala to increase access to financial services for underserved groups

Shareholders from Pact's FISH project

Pact, an international NGO, has closed a subordinated debt investment in Tala, a global fintech. This investment will support Tala’s lending efforts in Kenya, one of several countries where they provide rapid, flexible, small loans to first-time borrowers. Pact selected Tala for its unique ability to target customers who previously have been excluded from formal financial services due to lack of credit scores and other traditional methods of demonstrating credit. Through its proprietary alternative credit model that leverages mobile data, Tala can develop proxies for credit through various customer profiles.

Having unlocked access to loans for four million customers to date, Tala’s mission to “expand financial access, choice and control for three billion underserved globally” aligns well with Pact’s goals to enable resilient livelihoods and expand economic opportunities in the communities we serve.

Pact’s investment in Tala’s latest debt facility marks an important milestone. Tala founder and CEO, Shivani Siroya, said “We are delighted to have Pact as an investor in this latest debt facility. Our aligned objective is to channel world-class expertise and resources toward solving the world’s toughest problems, and there couldn’t be a more important time to have this focus."

Building on this investment, Pact will also be supporting Tala’s expansion efforts into new geographies by developing an ecosystem of partnerships to deliver the financial services needed to enable and empower communities.

“Our investment in Tala, a company revolutionizing access to financial services for those typically excluded, illustrates a new way in which we can affect radical positive change for the people we serve—our shareholders. We’re testing the boundaries for models of collaboration between the private and social sectors,” said Brian Vo, Vice President of Social Investment and Innovative Finance at Pact. “By leveraging a spectrum of investment vehicles, we have the flexibility to match our impact capital to solve the problem, not the other way around."

To learn more about Tala, visit their website at www.tala.co. To learn more about Pact’s work in financial inclusion and impact investments, visit www.pactworld.org/ventures.

###

 

Sign up for our newsletter:

Newsletter signup

Donate now

Help Pact build promise and improve lives around the globe.

DONATE

Partner with us

Let us know the promise you’d like to make. We’ll help you keep it.

PARTNER

What’s your #pactpromise?

For the media
Pact is a recognized global leader in international development, specializing in the areas of health, livelihoods and national resource management. Our uniquely integrated approach, always adapted to local needs, is transforming lives in each of the nearly 40 countries where we work.
 
We welcome inquiries from the media. In addition to our in-country development specialists who can speak knowledgeably about local conditions, Pact employs a range of international development experts in areas including public health, capacity development, governance and civil society, natural resource management, poverty, fragile states, monitoring and evaluation, small-scale and artisanal mining, microfinance and more.
 
Media contact: