Canadian fintech startup, WeSpare, believes it has found a way to solve one of the oldest problems in Nigeria’s informal savings system as it prepares to launch its platform in the country.
The company is introducing a digital savings circle model designed to preserve the logic of traditional rotating savings schemes, commonly known as ajo, esusu or adashe, while removing the risk of delayed contributions that often disrupt payout schedules.
The platform is expected to launch in Nigeria soon, with early access already open to prospective users.
“The concept was never the problem,” says Riquiel Keudem, co-founder of WeSpare. “People already had a system that worked. What often broke was the coordination required to keep everyone contributing on time.”
What you need to know
Across Nigeria, informal savings circles remain one of the most widely used financial tools for households, traders, and small business owners.
Whether called ajo in the southwest, esusu in the south or adashe in the north, the principle remains the same: a group of individuals contributes a fixed amount regularly, and each member receives the pooled funds when their turn arrives.
The model requires no interest payments, collateral, or bank approvals. Instead, it depends on a shared understanding among participants, often friends, colleagues, neighbours or family members.
For decades, these systems have functioned effectively outside the formal banking sector, largely because they rely on social accountability rather than institutional enforcement.
However, the system’s strength can also become its weakness.
Today, many savings circles are coordinated through messaging platforms such as WhatsApp, where one organiser typically manages the payment schedule, tracks contributions, and follows up with members who fall behind.
When the organiser is diligent and the group is tightly connected, the system works smoothly. But when coordination breaks down, payout timelines often shift.
Fixing ajo’s biggest weakness
According to Riquiel Keudem, the problem was never the savings model itself. WeSpare’s platform attempts to solve precisely that coordination challenge.
Instead of relying on a human organiser, the company operates digital savings circles with fixed payout dates that do not change once the cycle begins.
Participants select an available payout date and commit to contributing weekly or monthly. When the selected date arrives, the member receives the full payout regardless of whether other participants have missed payments.
If a contributor fails to pay on time, the platform temporarily covers the shortfall, ensuring that scheduled payouts remain unchanged.
In effect, the guarantee of a fixed payout date becomes the core feature of the service.
Banking infrastructure behind the platform
To ensure security and regulatory compliance, WeSpare says all funds are processed through Anchor Microfinance Bank, which is licensed by the Central Bank of Nigeria and insured by the Nigeria Deposit Insurance Corporation.
This means that no single member holds the group’s funds, and transactions are managed through regulated financial infrastructure.
The company says this structure removes the pressure typically placed on organisers who must track payments and chase late contributors in traditional groups.
Instead, the platform automates contributions, record-keeping, and payouts.
Another distinguishing feature is that the system maintains the interest-free nature of traditional ajo, making it compatible with Shariah-compliant financial principles familiar to many users.
Technology meets tradition
Digital versions of rotating savings systems are not new. Several fintech startups have attempted to replicate informal savings groups through mobile applications over the past decade.
What makes WeSpare’s entry notable, however, is the specific problem it is targeting.
Rather than reinventing the concept, the startup is attempting to remove what many users see as the single biggest risk in savings circles: unpredictable payout dates caused by missed contributions.
For many participants, these dates are tied to specific financial plans, from paying school fees to restocking a shop or covering rent.
When payouts are delayed, those plans can quickly unravel.
By guaranteeing a fixed payout schedule, WeSpare is effectively positioning itself as a reliability layer for a centuries-old financial practice.
Trust remains the biggest test
Despite the potential benefits, the company faces a critical challenge, which is trust. Traditional savings circles thrive because they are rooted in relationships. Participants often know one another personally, and social pressure ensures compliance.
Replacing that human accountability with an automated platform may require users to rethink how they relate to the system.
Financial habits shaped within communities tend to endure precisely because they are social. Whether Nigerians are willing to extend that same level of trust to a digital platform remains to be seen.
For now, WeSpare is betting that solving a problem many participants already recognise, late contributions and shifting payout dates will be enough to attract early adopters.
The startup says Nigerians interested in testing the platform ahead of its launch can register for early access.
Talking Points
What WeSpare is attempting to do is not to reinvent ajo, but to stabilise it. For generations, Nigerians have relied on rotating savings circles, whether called ajo, esusu, or adashe because they are simple, trusted, and built around community accountability. The system itself has always worked remarkably well.
The real friction has always been coordination. When one member delays contributions, payout dates shift, and everyone else in the circle feels the impact. By introducing fixed payout dates and automated contributions, WeSpare is trying to remove that long-standing weakness without changing the underlying structure people already trust.
At Techparley, we see this as part of a broader trend where fintech startups are not replacing informal financial systems but building infrastructure around them. Rather than forcing users to abandon familiar practices, the smarter approach is to strengthen them with reliability, transparency, and digital safeguards.
Another notable aspect of the model is the decision to keep the system interest-free, preserving one of the defining features of traditional savings circles. This also means the structure aligns with Shariah-compliant financial principles, which could make the platform appealing to a wider group of users across different communities.
If the model works, it could remove one of the most common frustrations in savings circles: waiting longer than expected for your turn.
——————-
Bookmark Techparley.com for the most insightful technology news from the African continent.
Follow us on Twitter @Techparleynews, on Facebook at Techparley Africa, on LinkedIn at Techparley Africa, or on Instagram at Techparleynews.
