Tanzania-founded fintech company Nala has secured up to $50 million in credit financing to strengthen and expand its stablecoin-powered cross-border payment infrastructure.

The facility begins with an initial $25 million tranche and can increase to $50 million or more through Mars Growth Capital, a joint venture between Liquidity and Japan’s MUFG Bank.

According to the company, the funding will mainly support pre-funding of transfers, expansion of payment corridors, and the onboarding of larger enterprise clients across its growing network.

Nala started in 2017 as a remittance application serving the African diaspora and later expanded into business payments through its enterprise platform called Rafiki.Today, the company reports that its network connects more than 249 banks and 26 mobile money providers across 16 countries.

Founder and CEO Benjamin Fernandes noted that the company’s rapid growth has increased pressure on liquidity needs, especially in managing one-way payment flows where funds must be available before settlement from counterparties.Despite the new credit facility, Nala stated that it still holds more than half of the capital raised from its $40 million equity round in 2024.This shows the credit line is intended for scaling operations rather than solving financial stress.

The deal reflects a broader industry trend where fintech firms increasingly rely on debt financing to manage working capital rather than raising additional equity.

Stablecoin-based payment systems are gaining traction as businesses seek faster and cheaper cross-border settlement solutions between emerging markets, Europe, and the United States.However, companies like Nala still face challenges related to compliance, local banking integration, and liquidity management.The firm did not disclose revenue or transaction volumes but indicated that several enterprise contracts are expected to go live later this year.