For decades, banking in Africa was defined by long queues, high fees, and limited access. Opening an account often meant visiting a branch, completing paperwork, and paying charges that discouraged many people from using formal financial services.

Babs Ogundeyi believed banking could be different.

As the Co-Founder and CEO of Kuda, he set out to build a digital bank that would remove many of the barriers associated with traditional banking. Since launching Kuda in 2019, the company has grown into one of Africa’s most recognized fintech brands, serving more than seven million customers and processing trillions of naira in transactions.

His journey demonstrates how combining financial expertise with technology can transform everyday experiences for millions of people.

Early Life

Babs Ogundeyi’s entrepreneurial journey began long before Kuda.

He studied Business Studies and Accounting at Brunel University London before building a career in financial services. He spent several years at PwC, advising some of Africa’s largest financial institutions on audit and consulting engagements.

In 2011, he joined the Oyo State Government as Special Adviser on Finance, where he worked on capital raising, public private partnerships, and financial reforms. During his tenure, the state significantly increased internally generated revenue and successfully executed one of its largest bond programmes.

These experiences gave him a unique understanding of both traditional banking and the structural challenges limiting financial inclusion in Nigeria.

Company Journey

Before Kuda, Babs co-founded Kudimoney, a digital lending and savings platform designed to simplify financial services for Nigerians. As customer demand evolved and regulatory opportunities expanded, the business transitioned into Kuda in 2019 after obtaining a national microfinance banking licence from the Central Bank of Nigeria.

Kuda entered the market with a simple promise: make banking more accessible, affordable, and rewarding. Unlike many traditional banks, Kuda eliminated common charges such as transfer fees and account maintenance fees while offering a fully digital banking experience.

The company quickly attracted users looking for a more convenient way to manage their finances.

Investor confidence followed.

Kuda raised US$1.6 million in pre-seed funding in 2019, followed by a US$10 million seed round in 2020, a US$25 million Series A in 2021, and a US$55 million Series B later that year. Collectively, the company has raised more than US$90 million and reached a valuation of approximately US$500 million.

Today, Kuda operates from London while serving customers primarily in Nigeria and expanding internationally. The company has also secured licences to provide services in Canada and Tanzania while exploring additional African markets. With more than 7 million customers, Kuda has become one of Africa’s leading digital banks.

Leadership Style

Babs Ogundeyi believes financial services should be designed around people rather than institutions.

His leadership emphasizes simplicity, customer experience, and continuous innovation. Instead of replicating traditional banking digitally, he encourages his team to rethink how banking should work for modern consumers.

He has also emphasized building a strong company culture centred on operational excellence, collaboration, and long term thinking, arguing that sustainable businesses are created through disciplined execution rather than rapid growth alone.

Challenges

Building a digital bank in Nigeria came with significant obstacles.

Kuda entered a highly regulated industry dominated by established financial institutions with extensive branch networks and decades of customer trust.

The company also had to educate customers about digital banking while maintaining strong security, regulatory compliance, and operational reliability.

As Kuda expanded, balancing rapid customer growth with product quality and regulatory expectations became an ongoing challenge.

Despite these obstacles, the company continued to strengthen its technology, attract investment, and expand its customer base.

Lessons for Entrepreneurs

1. Challenge established industries.
Some of the biggest opportunities exist in sectors that have changed very little.

2. Build around customer experience.
Products that remove everyday frustrations often grow quickly.

3. Strong execution attracts investors.
Capital follows companies with disciplined leadership and measurable traction.

4. Embrace technology with purpose.
Innovation should simplify people’s lives rather than add complexity.

5. Build for the long term.
Sustainable businesses focus on trust, resilience, and continuous improvement.

EIA Takeaway

Babs Ogundeyi did not simply launch another fintech startup. He challenged the assumption that banking had to remain expensive, complicated, and branch dependent. By combining financial expertise with technology, he helped reshape how millions of Africans interact with money.

At Entrepreneurs in Africa, we believe his journey illustrates one of entrepreneurship’s most important lessons: Industries do not change because technology exists. They change because entrepreneurs have the courage to question how things have always been done.