Pan-African venture capital firm, LoftyInc Capital has co-led a $4 million seed round in Moroccan fintech startup WafR, marking one of the first investments from its newly launched Alpha Fund and reinforcing investor confidence in North Africa’s emerging technology ecosystem.
The round was co-led alongside Attijariwafa Ventures and Almada Ventures, with additional participation from UM6P Ventures and First Circle Capital.
The deal reflects a broader shift in African venture activity towards geographically diverse markets and infrastructure-driven fintech models that integrate financial services into everyday commerce networks.
“We are proud to co-lead this round and champion WafR’s bold mission,” said Mariam Kamel, partner at LoftyInc Capital. “This investment exemplifies our commitment to backing strong founders in high-potential markets who are solving foundational challenges.”
What You Need to Know
Morocco’s startup ecosystem has been steadily gaining investor attention, with local ventures collectively raising approximately $58 million in 2025, ranking the country seventh across Africa by total capital attracted.
The investment into WafR highlights this upward trajectory and suggests growing confidence in the country as a gateway to Francophone and North African markets.
“The entry of LoftyInc Capital, Attijariwafa Ventures, and Almada Ventures is a pivotal milestone,” said Ismail Bargach, WafR’s chief executive and co-founder. “Their support brings not just capital, but deep fintech experience and strong regional networks that will be instrumental as we scale our impact.”
Investors are increasingly prioritising startups that address structural barriers to financial inclusion while leveraging existing retail infrastructure.
In Morocco, neighbourhood corner shops, known locally as hanouts play a central role in community commerce, making them a natural distribution layer for embedded financial services.
Digitising Hanouts to Expand Financial Access
Founded in 2021, WafR was established to digitise Morocco’s vast network of hanouts by equipping merchants with a platform that enables them to offer services such as airtime top-ups and bill payments.
By embedding these capabilities into familiar retail environments, the startup aims to bring financial access closer to consumers who may remain underserved by traditional banking channels.
The company is now preparing to broaden its product suite to include peer-to-peer transfers and domestic remittances, effectively transforming small retailers into decentralised financial service points within local communities.
With nearly 20,000 corner stores already active on its platform, WafR is building what it describes as one of Morocco’s largest merchant-led fintech distribution networks.
Alpha Fund Targets Africa’s ‘Graduation Gap’
LoftyInc noted that its Alpha Fund is designed to address what it calls Africa’s “graduation gap”, the stage at which startups have achieved early traction but struggle to access growth-stage financing.
The firm has built a track record of backing high-growth fintech ventures across the continent, including Flutterwave, Moove, and Wave.
In North Africa, its portfolio also features WideBot, Odiggo and Illa, underscoring a sustained regional expansion strategy.
As cross-border capital flows continue to mature and investors seek scalable infrastructure plays, WafR’s model of embedding fintech within informal retail networks may offer a blueprint for financial inclusion across similar markets on the continent.
Talking Points
The decision by LoftyInc Capital to co-lead WafR’s seed round signals a growing investor conviction that North Africa is entering a stronger phase of venture-backed innovation, particularly in fintech infrastructure.
WafR’s focus on digitising Morocco’s neighbourhood hanouts stands out as a pragmatic approach to financial inclusion. Rather than building entirely new distribution channels, the startup is leveraging trusted retail touchpoints that already anchor daily commerce within communities.
With nearly 20,000 merchants on its platform, WafR is quietly building a powerful last-mile network that could unlock access to payments, remittances, and other financial services for populations traditionally underserved by formal banking.
At Techparley, this model reflects a broader continental shift towards embedded fintech, where financial services are woven into everyday transactions and familiar environments rather than delivered solely through standalone apps or bank branches.
Looking ahead, partnerships with financial institutions, payment processors, and consumer brands could accelerate service expansion while strengthening the commercial viability of its merchant network.
——————-
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.
