Chevy Chase start-up Ovamba wants to use ‘Islamic finance’ to connect Africa’s small businesses to wealthy investors

Chevy Chase start-up Ovamba wants to use ‘Islamic finance’ to connect Africa’s small businesses to wealthy investors

The world’s prevailing financial institutions — banks, credit unions and equity markets — have mostly ignored sub-Saharan Africa. And “microfinance” organizations, while wildly successful in some parts of the Indian subcontinent, have had mixed results there.

Could a smartphone app that applies principles of Islamic law help fill the gap?

That’s the project being undertaken at Ovamba Solutions, a Chevy Chase, Md.-based company that connects African business owners with wealthy European and American investors. The company operates an app-based investment platform that is based on fees rather than interest, allowing it to steer clear of prohibitions against interest that exist in Islamic law.

Click here for full article https://www.washingtonpost.com/business/capitalbusiness/chevy-chase-start-up-ovamba-wants-to-use-islamic-finance-to-connect-africas-small-businesses-to-wealthy-investors/2018/06/24/b32fa4f0-758c-11e8-b4b7-308400242c2e_story.html?noredirect=on&utm_term=.e91c7499041a