MyZoi Raises $14M to Reduce Remittance Costs for Migrant workers
UAE-based startup MyZoi empowers low-income migrant workers, particularly those from Pakistan, India, Bangladesh, the Philippines, and Nepal.
Recently, MyZoi secured $14 million from SC Ventures, a division of Standard Chartered, and the Japanese financial services group SBI Holdings. This funding injection will drive the company’s journey to reduce remittance fees.
“We wholeheartedly believe in myZoi’s vision to enable financial inclusion and secure equitable future for every individual, regardless of their background or social status. Therefore, we are happy to invest in this impactful fintech,”said Yoshitaka Kitao, SBI Holdings, Inc. Representative Director, Chairman, President & CEO.
MyZoi aims to cut remittance fees by half, starting with five million low-income migrant workers in the UAE. Currently, these workers face an average remittance fee of approximately 6.5%.
The company has two primary offerings. Firstly, it provides a digital remittance platform to lower transaction costs to less than 3%. This aligns with the United Nations’ Sustainable Development Goals for 2030. Secondly, MyZoi offers a specialized payroll system tailored for companies that employ migrant labor.
The company has secured two licenses from the Central Bank of the UAE: the Stored Value Facilities (SVF), and the Retail Payment Services and Card Schemes (RPSCS) Category II.
The startup is committed to addressing the inherent mistrust that some migrant workers harbor towards financial services by delivering a user-friendly app designed with simplicity in mind, catering to individuals with limited financial knowledge. After a simple sign-up process, users receive their salaries directly into their myZoi digital wallets and can send money from there with a button. Additionally, MyZoi plans to offer financial literacy services to its users.
