Standard Chartered’s innovation and fintech investment arm, SC Ventures, has recently made a strategic investment in Algbra, a UK-based fintech company focused on ethical and sharia-compliant finance. This investment also involves a partnership between Algbra and Shoal, SC Ventures’ sustainable finance platform.
The demand for sustainable and ethical finance is on the rise, as more consumers seek financial products that align with their personal values and ethics. A survey conducted by the Islamic Finance Council UK revealed that 90% of respondents consider it important for their bank to offer products that support the United Nations’ Sustainable Development Goals.
Gurdeep Singh Kohli, SC Ventures’ lead for Europe and Americas, expressed the commitment of SC Ventures and Standard Chartered to sustainable financing. He emphasized their focus on building ventures with their clients in mind, which led to the creation of Shoal. Kohli also highlighted the potential for enhancing customer propositions in the UK through the partnership with Algbra, and how their investment will help accelerate the delivery of Algbra’s Fintech-as-a-Service solution on a global scale.
Algbra, founded by Zeiad Idris and Fizel Nejabat, is the first Sharia-compliant and B-Corp-certified fintech authorized by the Financial Conduct Authority as an Electronic Money Institution. The company’s UK B2C proposition was recognised as the ‘Best ESG Initiative in Payments’ at the Pay360 Awards, acknowledging Algbra’s impact solutions such as carbon tracking and offsetting, financial wellbeing tools, and donations platform.
Idris expressed his excitement about partnering with SC Ventures and Shoal, highlighting the alignment of their companies in making a positive impact and their commitment to serving communities beyond the UK, including Asia, Africa, and the Middle East. He looks forward to the potential achievements in their joint efforts to drive commerce and prosperity.
The partnership between Shoal and Algbra presents significant synergies in their offerings and target markets. Shoal, a B-Corp certified sustainable finance platform incubated by SC Ventures, empowers retail customers to achieve their financial goals while supporting sustainable development and the fight against climate change. It will leverage Algbra’s technology to distribute its products to UK retail customers, and Algbra will integrate Shoal into its ESG-centric B2B solutions on a global scale.
In conclusion, the collaboration between SC Ventures, Shoal, and Algbra signifies a significant step towards driving sustainable financing and meeting the increasing demand for ethical and sharia-compliant financial products. This partnership is poised to make a positive impact not only in the UK, but also in communities across Asia, Africa, and the Middle East.