Kacha Labs, a Nigeria-based tech company, is set to revolutionize the landscape of digital work in Africa with its payroll system named Woka. The product allows freelancers and digital workers across the continent to get access to vital financial services such as health insurance and retirement savings.

The innovative solution, which will launch in July 2023, will also extend its reach to those who receive payments in stablecoins, catering to the evolving needs of the ever-expanding digital workforce.

“We’re addressing people who work online and in the digital economy. Nomads and digital workers necessarily do not have access to financial services,” Ebovi Wali, 26-year-old co-founder and CEO at the company tells NODO News. His company was formed in 2022 as a result of these challenges that he witnessed in the marketplace.

Typically, digital workers are hired on a contract basis and do not get benefits such as a pension, health insurance, and access to credit. It is upon them to allocate part of their income to suit these needs.

How Woka Works

*(Ebovi Wali, co-founder and CEO of Kacha Labs/ Photo by Kacha Labs)*

When Woka launches in a few weeks, digital workers will be able to sign up for the platform through a subscription model, the CEO explained.

Woka allows these workers to connect all income sources and choose the benefits they would like to access. Kacha Labs is already engaged with global health and pension providers to offer these services on Woka. The service will initially start in Nigeria by providing pension and insurance services before it extends to more markets in Africa.

“For example, as a digital nomad, you can say if a client is paying me on X date, remove X amount for my pension account,” Wali states.

He explains that Woka will offramp payments that are done in stablecoins to the service providers on behalf of the digital worker.

In case of claims, the platform will provide mechanisms for users to lodge claims, including dedicated agents. The firm aims to also work with local medical insurance firms to provide coverage in different jurisdictions.

Data is scarce on how many Africans engage in digital work, but some estimates show that in Kenya alone there were 1.9 million digital workers by the end of 2022. The digital economy in Africa has been growing rapidly, fueled by advancements in technology and increased Internet connectivity

Wali believes that Africa will witness a steady growth of digital workers. In this line, the company also launched Nomadi, a community of digital workers. The community has about 1,200 members, according to the CEO.

-Edited by Faustine Ngila, Shigeru Sato