(Ecofin Agency) - Egyptian digital bank Telda, launched in April 2021 by Ahmed Sabbah, co-founder of transportation company Swvl, and Youssef Sholqamy, a former Uber engineer, has raised an initial $5 million in funding.

Investors Global Founders Capital and Class 5 Global participated in this deal led by the US VC firm Sequoia Capital. The operation is Sequoia’s first investment in the Middle East and North Africa (MENA) region.

"We are delighted to partner with Telda and earmark our first investment in the region," commented George Robson, partner at Sequoia. Roel Janssen, partner at Global Founders Capital, said “it is GFC’s first investment in Egypt, and we see that Egypt has the potential to become an important hub in the global tech ecosystem.”

Egypt boasts 105 million inhabitants, mostly young, with 61% under 30 years old and with a growing smartphone penetration. This made the country the right candidate for this investment, said Youcef Oudjidane, partner at Class 5 Global.

Launched in early April in Egypt, Telda has over 30,000 registrations on its platform. The bank, which is still in its early-stage, offers basic banking services and plans to partner with other financial institutions to enhance its services.

Chamberline Moko