In May 2025, Okra, an open banking startup, ceased operations, marking a significant event in Nigeria's fintech sector.
Okra's History and Achievements
Founded in 2019 by Fara Ashiru Jituboh and David Peterside, Okra aimed to revolutionize financial access across Africa by building a robust API infrastructure. The startup quickly gained traction, partnering with major Nigerian banks and platforms, and by 2020, its API usage surged by 175% in a quarter.
Reasons for the Shutdown
Despite having three years of runway left from its $16.5 million funding, Okra's leadership decided to shut down operations. Ashiru Jituboh emphasized that the decision was not due to a funding crunch, but by strategic and market challenges, particularly the difficulties faced by their cloud product, Nebula.
Impact on the Market and Future of Fintech in Nigeria
Okra's closure is a sobering moment for Nigeria's fintech sector, which is under pressure from investors focusing on profitability. While Okra returned leftover funds to its investors, emphasizing ethical business practices, this situation highlights the challenges faced by startups in an increasingly competitive environment.
The closure of Okra underscores the need for resilience and adaptability in the rapidly evolving fintech landscape of Africa. Nevertheless, the company's contributions to open banking will be remembered for a long time.
