As more financial institutions embrace digital services, Kenyan technology company Equitax Africa Solutions Limited is seeking to simplify how microfinance institutions, SACCOs and fintech companies manage their lending operations.
The locally registered software development firm provides digital lending and core banking systems designed to help financial institutions handle loan applications, approvals, disbursements, repayments and portfolio reporting through integrated technology platforms.
Led by Chief Executive Officer Jackson Maina Ndirangu, Equitax is targeting institutions that want to improve efficiency, expand access to financial services and serve borrowers through digital channels.
The company’s solutions cater to different lending models, including asset financing, SME loans and logbook financing. It also develops customised fintech products based on the operational needs of individual lenders.
How Equitax’s lending technology works
Equitax builds its systems using open-source core banking platforms, particularly Apache Fineract and Mifos X. This allows financial institutions to deploy the technology through cloud-based Software as a Service (SaaS) arrangements or install it on their own infrastructure.
The platforms are designed to manage the lending process from the initial application to loan repayment and reporting, helping institutions keep track of their portfolios and customer accounts.
Borrowers can also access services through several channels, including SMS, USSD and web portals. These options allow customers to apply for loans, check balances and receive repayment reminders without necessarily having a smartphone or internet access.
The company has also integrated its lending systems with Safaricom’s M-Pesa platform to support loan repayments and disbursements.
Through the Customer to Business (C2B) service, borrowers can repay loans directly to lenders’ Paybill accounts. The system validates and matches incoming payments before automatically recording them against the relevant loan accounts.
The Business to Customer (B2C) integration, meanwhile, enables financial institutions to send approved loan amounts directly to borrowers through mobile money.
Equitax clarifies that it does not operate mobile money wallets or hold customer funds. Instead, it provides the software that initiates, records and reconciles transactions through licensed mobile money infrastructure.
Serving MFIs, SACCOs and digital lenders
Equitax’s target market includes microfinance institutions managing individual, group and SME loan portfolios, SACCOs offering savings and credit services to members, and digital lenders developing specialised credit products.
The company says its solutions are already serving clients in more than five Kenyan counties, including Nairobi, Kajiado, Machakos, Kiambu and Kisumu.
By offering systems that can be adapted to different lending models, the firm aims to give financial institutions technology that supports their operations without requiring them to build entire banking platforms from scratch.
Under Ndirangu’s leadership, Equitax Africa Solutions is looking to strengthen its position in Kenya’s financial technology sector while supporting the digital transformation of lending services.
The company also has ambitions to extend its reach across the wider African market, where financial institutions continue to explore technology-driven ways of serving SMEs and expanding access to digital credit.
