LemFi, the African-focused fintech startup known for enabling instant, fee-free money transfers, has officially expanded into Egypt, a major remittance market with over $20.6 billion in inbound flows last year. The move marks a significant milestone in LemFi’s mission to become the go-to financial platform for Africans in the diaspora.
Egypt: A High-Stakes Expansion
Founded in 2020 by Ridwan Olalere and Rian Cochran, LemFi began with a straightforward mission: make it easier and cheaper for Africans abroad to send money home. Five years on, that mission now includes Egypt, the third-largest remittance destination in Africa and one of the most lucrative globally.
“Egypt’s significance as a remittance destination cannot be understated,” said Philip Daniel, LemFi’s Head of Global Expansion. “Whether in LemFi’s existing markets or others that align with our ambitions, the Egyptian diaspora is significant—and they deserve quality service.”
Remittances have become Egypt’s largest single source of foreign exchange, outpacing exports, tourism, and Suez Canal tolls. The country’s severe foreign currency shortages, paired with a diaspora exceeding 10 million, make it a priority market for global fintechs.
Yet traditional methods like bank wires remain slow and costly—often taking days and charging up to 7% in fees. LemFi’s alternative: zero transfer fees, real-time settlement, and market-tracking FX rates, especially for Egyptians in the UK, Canada, and Europe who send smaller, frequent payments home.
Backed by Capital and Regulatory Clout
LemFi’s Egyptian debut is underpinned by a string of successful funding rounds and strategic acquisitions:
- In 2023, LemFi raised $33 million in Series A, acquiring licenses in Nigeria and the UK, and rebranded from Lemonade Finance.
- In January 2025, it secured $53 million in Series B, expanding into Europe and Asia, and surpassing $1 billion in monthly transaction volume.
- Most recently, in June 2025, LemFi acquired Pillar, a London-based credit card issuer, granting it key regulatory permissions and paving the way for card services, multi-currency wallets, and credit offerings—features that may soon be available in Egypt.
Lessons from Kenya, Eyes on Francophone West Africa
LemFi’s success in Kenya offers a blueprint for expansion. After a year-long pilot and rigorous regulatory review, the Central Bank of Kenya approved the app in April 2024, allowing access to over 500,000 Kenyans living abroad.
Egypt poses a similar regulatory landscape. Insiders report that LemFi has spent months integrating with InstaPay, Egypt’s national instant payment system, to ensure same-minute settlements. This infrastructure investment aims to provide unmatched speed and reliability in remittance services.
Still, LemFi enters a competitive arena. Chipper Cash, WorldRemit, and a growing field of local fintechs are already active in the Egypt corridor. However, LemFi’s founders believe its edge lies in combining no-fee transfers, instant payouts, and a suite of financial products that appeal to diaspora users seeking more than just remittances.
Initial services will focus on Egyptian pound payouts to bank accounts and mobile wallets, with plans to expand into full multi-currency wallet support.
A Gateway to Pan-African Growth
With the addition of Egypt, LemFi completes its North African triad and sets its sights on Francophone West Africa, where regulatory discussions are reportedly ongoing. The region represents the next frontier in its continental expansion.
Egypt, however, remains the company’s most ambitious test to date. If LemFi can capture even a modest portion of the $20 billion annual remittance flow, it will take a giant step toward becoming the default digital bank for Africa’s diaspora—a fast-growing, high-value user base increasingly underserved by traditional financial institutions.
