The investment, made through Aruwa Capital Fund II alongside co-investors, will support Sika’s efforts to build the underlying financial infrastructure needed for faster, safer, and more efficient cross-border transactions.

Founded in 2023 by Emmanuel Ashirifi, Sika develops technology that enables financial institutions, corporations, brokers, payment companies and other market participants to settle foreign exchange transactions across multiple currencies.

Its flagship platform, ClearNet, offers services including foreign exchange settlement, liquidity aggregation, market data, multilateral netting and payment-versus-payment settlement designed for frontier and emerging market currencies.

The company is targeting a long-standing challenge facing many emerging economies.

While developed markets benefit from sophisticated clearing and settlement systems that reduce transaction risk and improve liquidity, businesses operating across much of Africa and the wider Global South often rely on fragmented banking relationships and expensive correspondent banking networks.

These arrangements can increase costs, tie up liquidity and expose participants to settlement risks.

The issue has become increasingly important as African governments and businesses push for deeper regional trade integration through initiatives such as the African Continental Free Trade Area (AfCFTA).

Although trade between African countries continues to grow, many transactions still pass through foreign currencies and offshore financial centers before reaching their final destination, adding costs and operational complexity.

Sika says its infrastructure is designed to help institutions settle transactions directly in multiple currencies while reducing dependence on traditional correspondent banking channels.

The company uses multilateral netting and payment-versus-payment mechanisms to lower settlement costs, improve capital efficiency and strengthen access to liquidity across markets.

Today, Sika works with a growing network of financial institutions, fintech companies, corporates, brokers and liquidity providers across Africa, Asia, Latin America and the Middle East.

The company supports settlements in more than 15 currencies and has established operational and regulatory footprints in several markets.

Speaking on the investment, Sika founder and Chief Executive Officer Emmanuel Ashirifi said the company was created to address weaknesses in the infrastructure that supports cross-border financial activity in emerging markets.

“Financial markets cannot scale efficiently without trusted infrastructure. While capital, trade, and investment increasingly move across emerging markets, the underlying systems responsible for clearing, settlement, liquidity, and risk management remain fragmented,” Ashirifi said.

“We are creating the financial market infrastructure that enables institutions to transact confidently across borders while reducing risk, unlocking liquidity, and improving capital efficiency. As trade and investment across Africa and the Global South continue to grow, the need for resilient, interoperable, and institution-grade settlement infrastructure becomes increasingly important.”

He added that Aruwa Capital’s backing would provide strategic support as the company continues building infrastructure for international financial markets.

Aruwa Capital Founder and Managing Partner Adesuwa Okunbo Rhodes said the investment aligns with the firm’s strategy of supporting businesses capable of generating both financial returns and broader economic impact.

“Sika is addressing one of the most fundamental challenges facing financial markets across Africa and other emerging economies: the lack of efficient and trusted infrastructure for cross-border settlement and liquidity management,” she said.

“The company’s technology, regulatory strategy, and infrastructure-first approach position it to become an important enabler of trade, capital formation, and financial integration across underserved markets.”

According to Rhodes, demand for more efficient cross-border financial systems is expected to increase as businesses, governments and financial institutions seek better ways to move capital across regions.

“We believe the scale of the opportunity is substantial. By reducing friction in financial markets and enabling greater participation in regional and global commerce, Sika has the potential to generate significant value for both market participants and broader economies,” she added.