Branch Set to Lays Off Staff in Kenya and Nigeria

Branch International, a San Francisco-headquartered fintech company offering digital banking and lending services, has laid off an undisclosed number of employees across Kenya and Nigeria in what it termed a strategic reduction of headcount in selected markets.

Several sources familiar with the matter, including affected employees, confirmed the layoffs.

An internal email reviewed by TechCabal outlined the severance terms offered to impacted staff.

The job cuts come at a time when many African fintech firms are shifting focus toward profitability and leaner operations, even as funding conditions gradually stabilise.

Branch said both its Kenya and Nigeria operations remained profitable last year, while the group recorded approximately $30 million in global profit for the 2025 financial year.

Branch Layoffs Follow Global All-Hands Meeting

According to sources, the company first communicated the decision during a global all-hands meeting held on April 17. Shortly afterward, employees received termination notices that took effect immediately.

“Your last day of employment will be today, April 17, 2026,” part of the internal communication stated.

Almost immediately after the meeting, affected staff reportedly lost access to their work emails and internal systems. Several employees described the process as abrupt and unexpected.

“We were aware of the company-wide meeting, but nobody expected people would be laid off,” one former employee said.

In addition, a Kenya-based employee noted that recent remote working arrangements made it difficult to quickly assess the scale of the layoffs, since there was no physical office presence.

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Profitability Claims and Strategic Positioning

Despite the layoffs, Branch emphasized that the decision was not driven by financial distress or external funding pressure.

“This was not a decision driven by financial distress,” the company told TechCabal.

“Both our Nigeria and Kenya markets were profitable last year, and Branch International declared a global profit of approximately $30 million for the 2025 financial year,” they added.

Furthermore, the company said it maintains significant cash reserves and operates with no debt across its African entities.

At the same time, Branch dismissed any link between the layoffs and fundraising plans, stating: “We are not actively fundraising equity as we are profitable in every market, summing to over $30M last year.”

Severance Package and Employee Support

Meanwhile, the company has outlined severance terms for affected employees, which include at least four months of compensation covering salary, notice pay and unused leave days.

In addition, health insurance coverage will remain active through the end of 2026.

“Employees impacted by this decision were provided with extremely generous severance packages, and we are grateful for their contributions to Branch,” the company said.

However, several affected employees noted that many colleagues have remained silent on platforms such as LinkedIn, where layoffs are often publicly disclosed in the tech sector.

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Growth, Funding and Market Position

Looking at its broader trajectory, Branch International has grown into one of Africa’s leading digital lenders since its founding in 2015.

The company currently serves more than 13 million customers across Kenya, Tanzania, Nigeria, and India, and has issued over 54 million loans worth more than $1.8 billion, according to internal data.

In terms of funding, Branch has raised $274.3 million across 11 rounds, with its largest raise being a $170 million round in 2019 backed by investors including Foundation Capital and Visa.

Its most recent disclosed funding activity was an undisclosed debt financing round in 2022.

In Kenya specifically, the company expanded beyond digital lending in 2022 after acquiring a majority stake in Century Microfinance Bank, marking its entry into deposit-taking microfinance banking.

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Branch International cuts jobs in Kenya and Nigeria even as it reports strong profits, raising questions about its latest strategic move. PHOTO/ TechCabal