Morocco-based fintech WafR has raised $4 million in an oversubscribed seed round to expand its network of digitised neighborhood stores and broaden its financial services offering.
The round was co-led by LoftyInc Capital, Attijariwafa Ventures and Almada Ventures, with participation from returning investors UM6P Ventures and First Circle Capital.
Founded in 2021, WafR operates through nearly 20,000 active corner stores, known locally as hanouts. The platform enables airtime sales, bill payments and other digital services, turning small merchants into access points for financial services.
The company plans to expand into peer-to-peer transfers and nationwide remittances. Proceeds from the round will be used to scale its distribution network and deepen product offerings.
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LoftyInc said the investment aligns with its strategy to back startups beyond pre-seed stage that show traction but lack growth capital. WafR is one of the first investments from LoftyInc's Alpha Fund.
WafR aims to position local merchants as last-mile fintech agents, targeting underserved consumers across Morocco.
Key Takeaways
WafR's model reflects a broader trend in African fintech focused on agent-based distribution rather than mobile-first platforms alone. By digitising existing retail networks, startups can scale without heavy infrastructure investment. Morocco's financial inclusion rate has improved in recent years, but gaps remain, particularly among informal workers and rural populations. Corner stores offer physical trust points in communities where digital-only banking adoption may be slower. The investment also signals rising venture interest in North and Francophone Africa, markets that have attracted less capital than Nigeria or Kenya. As competition intensifies, execution will depend on merchant engagement, transaction volumes and regulatory alignment in payments and remittances. If successful, WafR could become a key layer in Morocco's digital financial infrastructure.
