Nigerian digital banking platform Eyowo has laid off 11% of its workforce, which is about 13 employees, and has debunked rumors that it is shutting down operations.
In an official statement sent to employees, Eyowo’s executive informed them about the significant changes that will take place at the company.
The company’s executives clarified that the company is decommissioning a product—Kwiksell, a retail management tool and has let go of employees whose roles have consequently become redundant.
Tekedia Mini-MBA edition 16 (Feb 10 – May 3, 2025) opens registrations; register today for early bird discounts.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
It further added that the new operating model will enable it to build an innovative product that will make money & life choices better, provide answers to people, and drive a scalable business model.
Our path forward. pic.twitter.com/MTnUe6GtmK
— Eyowo (@eyowo) June 26, 2023
Part of the statement reads,
“We are pivoting into a financial technology platform that provides financial connectedness and intelligence for everyday money & living choices to everyone with a smartphone. This will mean we can deliver revenue to selected entrepreneurs and offer a personal financial and life guide to everyone with a smartphone.
“We want to prioritize providing intelligence for better decision-making to our users in their money and life choices, as such we would no longer offer the inventory capabilities of Kwiksell while its payment services remain the same. This change will NOT in any way affect our product (Eyowo X) in the market and the capabilities we currently provide our users including the ongoing improvements to restore all services.
“It will only enhance it with more intelligence. This new operating model will enable us to build an innovative product that will make money & life choices better, provide answers to people and drive a scalable business model. Our pivot in business and operating model will affect 11% of our workforce, whose work efforts are directly impacted by the new direction and internal changes”.
Eyowo executive team further added that the change implemented will now see the company function as a Human-to-Human company as all its products will be direct to consumers and selected entrepreneurs within its ecosystem of growth.
Through this, Eyowo looks forward to building a company that will leverage the advancements in science and engineering to enable connectedness and growth for all humans.
Recall that last month, the digital bank had its license revoked by the Central Bank of Nigeria (CBN), along with 46 other microfinance institutions.
According to the CBN, it revoked the licenses of these companies because they had either remained inactive, insolvent, failed to render returns or closed shop. This saw Eyowo disclose to its users that they won’t be able to transfer or receive money from their accounts for a while because of the restriction from the Apex Bank.
While noting that it is actively working with the apex bank to resolve the issue, the digital bank however assured customers that their money was still intact.
Notably, with the revocation of its license, the bank has been disconnected from other banks in the country. Hence, Eyowo said it is also working with its partner banks to fix the problem.