Thiqa Digital Finance (Thiqa), an Islamic finance platform has partnered with Paymenow, a salary advance platform to allow Uganda’s civil servants early and responsible access to their already earned wages, completely secure and interest-free, via a mobile app. 

The partnership allows Thiqa, which allows different departments to understand their day-to-day cashflow pains, to leverage its valuable experience and knowledge of the Ugandan market to address shortcomings in the traditional monthly wage payment systems locally by providing employees with affordable real-time access to hard-earned wages.

In a statement made available to TechMoran, Danielle Lavan, Chief Executive Officer of Thiqa Digital Finance, said: “By partnering with Paymenow, we are bringing their direct payroll integration solution to Ugandan government employees, helping them bridge the gap between paydays and managing unexpected expenses.”

Paymenow’s platform has already provided financing to 500,000+ people in Africa and will now extend its reach and services to Uganda via this partnership with Thiqa. In addition to responsible and affordable early access to wages, the mobile app will provide comprehensive financial education resources for its users, fostering a culture of savings and driving economic prosperity. 

The employers, government ministries or taxpayers will use the platform to provide a cost-effective and credit-independent alternative to traditional financial solutions, significantly enhancing users’ financial well-being. The platform is also good for employee retention, attracting new talent and enhancing productivity by alleviating financial stress.

Paymenow operates in South Africa, Zambia and Namibia and now Uganda after its partnership with Thiqa which was established in 2019 in Uganda to provide shariah-compliant financial solutions. The Thiqa-Paymenow Earned Wage Access solution will go live in Uganda on June 3rd, 2024. Initially, the alternative financial solution will benefit select Ugandan civil servants, with plans to expand to cover up to a quarter of the entire workforce by year-end. Thiqa and Paymenow are also working to extend the solution to employees of corporate institutions across Uganda in a bid to create a positive and lasting impact on the wider Ugandan society.

“We’re thrilled to join forces with Thiqa Digital Finance, who have an exemplary track record in terms of building Islamic and Shariah-Compliant financial solutions for the Ugandan market. The traditional monthly pay cycle often leaves employees unable to cover emergencies or seize immediate financial opportunities,” said Group Chief Executive Officer of Paymenow Group, Deon Nobrega. “Together with Thiqa, we aim to empower Ugandans with the financial security and flexibility they truly deserve. Our embedded financial education tools will also equip Ugandans with the knowledge and resources to effectively manage their finances and build a brighter financial future.”