Nepal’s leading ISP WorldLink has invested in prominent digital wallet Khalti. With this investment, WorldLink aims to take digital financial services to rural areas in Nepal and facilitate online payment.
Following this partnership, WorldLink will now be entitled to 40 percent of ownership at Khalti.
This partnership between WorldLink and Khalti will make digital financial services more accessible in rural areas of the country.
For its own part, Khalti has been contributing to financial reach and financial inclusivity in Nepal. It has also regularly played its part in SMEs promotion and helped with digital payment for people with lower income through various campaigns.
The Partnership, a Milestone for ICT Reinforcements
Worldlink launched 26 years ago has been expanding more steadily in recent years.
“WorldLink has been expanding its services in both urban and rural areas,” said WorldLink Chairperson Dilip Agrawal. “The partnership with Khalti will be a milestone in Nepal’s ICT reinforcements,” He added,
Agrawal believes cooperation with Khalti will increase connectivity and also improve the reach of financial services in rural areas. He also expects it to further contribute to the government’s Digital Nepal Framework.
It is a notable instance where a domestic enterprise has invested in another domestic startup. Agrawal says that this will offer hope for many aspirant youth entrepreneurs in the coming days in Nepal.
“This partnership will motivate startups in Nepal who want to work with innovative thoughts and plans. WorldLink will always play its part to realize the goal of Digital Nepal,” Agrawal added.
Meanwhile, Khalti co-founder Amit Agrawal also shared similar excitement. He said that WorldLink’s investment will help it bring financial services within everybody’s reach. The PSP will now further commit to ensuring that everyone has access to digital payment where Khalti offers its services.
Launched 5 years ago, Khalti has established itself as a leading mobile payment gateway. Licensed by Nepal Rastra Bank, the e-wallet provider offers a range of services to its over two million users: This includes – utility payment, government services, insurance premium, online shopping, among many others.
WorldLink Investment – A Much Needed Lift for Khalti!
Khalti is one of the leading digital wallets in Nepal. However, it has trailed eSewa for most of its part. Although the credit goes to it for turning itself into an affluent PSP in just over 5 years, breaking even with eSewa still seems wishful. Now, that the top ISP WorldLink has backed it with a major investment, this could pivot Khalti to stage a toe-to-toe counter to eSewa.
In the crowded market of digital wallets in Nepal, eSewa and Khalti are a class apart from other competitors. While eSewa still leads, Khalti now can fancy itself to the top the financial backing by WorldLink.
WorldLink has coverage in 77 districts and Khalti, with the increase in cheaper broadband and smartphone use has more potential to reach more users. Further, the payment of WorldLink via Khalti can aid Khalti’s direct proliferation in the coming months.
This could as well go down as the highlight feat for the newly appointed CEO Binay Khadka as well who aims to further Khalti’s mission digitally under his tenure.
Khalti boasts over 2 million active users and employs over 200 hundred staff. It now has partnerships with over 90 percent of banks and financial institutions to facilitate digital payment.
What will WorldLink’s investment mean for Khalti? Do you expect that Khalti leapfrogs other competing PSPs and reaches higher following its partnership with the top ISP? Leave your opinion in the comments below.