Lagos, Nigeria – August 11, 2021 – A new partnership between IFC and Moove will improve urban mobility and ease heavy congestion in Nigeria’s megacity, Lagos, helping to drive sustainable and inclusive economic growth in the metropolis. Moove is an African mobility financial technology firm that provides vehicle financing to mobility entrepreneurs across the continent and is Uber’s exclusive vehicle financing and vehicle supply partner in sub-Saharan Africa.
IFC’s $20 million financing package to Moove includes a $10 million loan from its own account and $10 million mobilized from partners under the Managed Co-Lending Portfolio Program (MCPP). The funding will enable Moove to add up to 1,400 new cars to its fleet, including a pilot fleet of hybrid cars, to support the roll-out of more energy efficient vehicles on e-hailing platforms. The financing comes on the back of Moove’s recent Series A, which raised $23 million to fuel growth and expansion into new markets and products. This brings Moove’s total funding raised to $68.2 million, comprising $28.2 million equity and $40 million debt.
“IFC’s financing will support our efforts to revolutionize e-hailing in Lagos by rolling out new energy-efficient vehicles and will help us in achieving our vision to democratize vehicle ownership, empowering a new generation of mobility entrepreneurs, in particular women, by offering them greater flexibility and transparency,” said Ladi Delano, co-founder and CEO of Moove.
The investment is part of IFC’s, and the World Bank Group’s, strategies to promote diversified, inclusive growth and job creation in Nigeria and support the development of the country’s transport sector. The limited expansion of public transport as urban populations grow is a major constraint to economic activity, and the private sector will be key to meeting the additional demand.
“Our partnership with Moove reiterates our commitment to spur economic growth in Nigeria by creating new opportunities and inclusive jobs, especially as the country recovers from the devastating impact of the COVID-19 pandemic,” said Kalim M. Shah, IFC’s Senior Country Manager for Nigeria. “It will also help Nigeria meet its climate aspirations by introducing more fuel efficient vehicles to meet the growing transportation needs of its population.”
According to a recent report conducted by the IFC in partnership with Nigerian Exchange Limited [NGX], Nigerian companies scored better than global averages for some aspects of women’s participation in the workforce, but will need to further step up efforts to bridge the gaps that remain between women and men in the private sector. The study, titled Gender Equality in Nigeria’s Private Sector, also recommended improving access to finance for women who want to start a business, and gender equality in formal employment.
The report is part of the Nigeria2Equal initiative launched by IFC in partnership with Nigerian Exchange (NGX). The program, which runs until 2023, aims to reduce gender gaps in the private sector through research and case studies. Moove, alongside 15 Nigerian companies will participate in a peer learning platform and make at least three commitments to reduce gender gaps in their operations.
Shah added, “Through the Nigeria2Equal initiative, we are working with CEOs of private sector companies listed on the Exchange who are committed to implementing gender-smart solutions to improve their performance in gender across leadership, employment and entrepreneurship. By conducting market research and publishing studies, such as this report, we are providing strong evidence on the important role women play in the country’s private sector, helping companies to identify gaps and constraints, and ultimately invest in reducing those gaps”.
Launched in 2020, Moove is a mission-led company that’s committed to ensuring that 50 per cent of its customers are women. Using its alternative credit-scoring technology and revenue-based model, Moove is empowering more women to access financing and become mobility entrepreneurs. The company supports female customers through a network of Moove Women Ambassadors as well as develop features and products in collaboration with female customer focus groups. Moove also aims to give 100 per cent of mobility entrepreneurs access to affordable credit and ensuring that at least 60 per cent of the vehicles it finances are electric or hybrid vehicles as part of its commitment to improving road safety and vehicle emissions on Africa’s roads.
Read IFC’s full press release here.
IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2020, we invested $22 billion in private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity. For more information, visit www.ifc.org.
Moove is an African mobility fintech that is democratizing vehicle ownership by providing revenue-based vehicle financing to mobility entrepreneurs across Africa, where limited access to vehicle financing has resulted in the lowest per capita car ownership in the world. The company is Uber’s exclusive vehicle financing and vehicle supply partner in sub-Saharan Africa. For more information, visit https://moove.africa/ or contact email@example.com.