Masroofi, a fintech startup originating from Egypt, has successfully obtained $1.5 million in funding from undisclosed investors.
With this financial support, the company can expand its provision of digital payment solutions to a broader range of children, specifically targeting those aged 5 to 15 years old.
Masroofi (‘My Pocket Money’) was launched in January 2023 by Mostafa Abd Elkhabir (36), with over 15 years of experience in market research, and Sayed Hosney El Shemy (40), with nearly 20 years of expertise in software development to address the financial inclusion of children.
According to local reports, most children in Egypt grow up with little to no knowledge of handling finances and no access to cashless opportunities. Financial education is also not common in the school system.
Through the Masroofi platform, parents have the capability to create their own profile within the mobile application. They can conveniently recharge their wallet by utilizing their personal debit or credit card, and they also have the option to request a card for their child for a fee of EGP 75 ($2.43).
Subsequently, parents have the ability to transfer funds to their children’s Masroofi cards. These cards can be utilized by the children on Masroofi’s point-of-sale (POS) machines for various transactions.
The banking cards offered by Masroofi differ from traditional Mastercard or Visa cards. Instead, they are near-field communication (NFC) cards. NFC technology allows seamless communication between electronic devices, such as the Masroofi card and a compatible card reader, simply by tapping them together.
“As parents, many of us struggle with our children having cash in their hands because they are usually unaware of its worth. They either spend irresponsibly or they lose the cash. This is our seamless solution to parents, with regular notifications to parents of their childrens’ spending habits,” Abd Elkhabir tells Egyptian Streets.
The platform aims to provide children with a similar experience to that of adults when it comes to using card payments, allowing them to gradually familiarize themselves with this aspect of financial transactions. Additionally, the application strives to educate children about the importance of saving and introduces them to investment plans, fostering a greater understanding of these concepts from an early age.
“We are complimenting financial inclusion efforts in Egypt. Only Egyptians aged 16 and above are allowed to create bank accounts and utilize cashless solutions. Through Masroofi, we are integrating children into this cycle so they grow up aware and educated about different cashless solutions and digital payment methods,” says Abd Elkhabir.
- Remittances from Egyptians abroad
- The Islamic economy
- The installment payment system
The country’s population of over 110 million and the vast number of governorates is serviced by only 140 fintechs providing a huge opportunity as progress in digitization picks up in the Egypt.
