Business
Chamasoft: A Kenyan tech innovation that brings automation for investment groups
The revolutionary service is one of the 40 technology services and companies that will be officially launched at the Demo Africa conference in Nairobi, Kenya which is scheduled to start on October 24.
“We tried as much as possible to understand how chamas work and the challenges they face. From the feedback we have received so far, we have been able to improve chamasoft to truly fit the needs of a chama. There is nothing like this in the market. We believe we will have a first mover advantage,” said Njuguna.
Chamas are common in Kenya and have evolved from the traditional women groups where women saved and borrowed funds for household utensils to groups that have acquired millions of shillings worth of assets.
Notable investment groups in Kenya include the Nairobi Securities Exchange listed Transcentury Limited Group, a multi-million dollar worth company, that was founded by a group of 29 Kenyans 16 years ago who raised US$280,000 to start an investment company.
The US$690 million worth Thika Greens Golf Estate project in Thika also traces its roots to an investment group.
Across Kenya, people interested in acquiring assets, are turning to investment groups which enable them to pool resources easily, get better loan facilities and invest in capital intensive projects. Popular investment attractions include purchasing land, construction, transport services, establishing schools, managing hotels and purchasing stocks.
“We believe there is a very big opportunity in the market and this has been validated by the fact that financial institutions like banks have come up with specific products for chamas. They have launched chama accounts with specific advantages and financing terms. So, we know the opportunity is there,” said Njuguna.
