SC Ventures, Standard Chartered’s innovation and fintech investment arm, has announced a strategic investment in Algbra, a financial technology company based in the United Kingdom.

As part of the agreement, Shoal, SC Ventures’ sustainable finance platform, will partner with Algbra. The terms of the deal were not disclosed.

“SC Ventures and Standard Chartered are committed to sustainable financing. We build ventures with our clients in mind, which resulted in Shoal. Combining the proposition with Algbra will enhance the customer proposition in the UK and our investment will accelerate the delivery of Algbra’s Fintech as a Service (FaaS) solution globally,” says Gurdeep Singh Kohli, SC Ventures lead for Europe and Americas.

Demand for sustainable and ethical finance continues to grow, with consumers seeking offerings to align their money with their personal ethics and values. According to a study, 74% of retail finance customers want their savings to have a positive impact on the planet and 52% would switch providers if they could see how their money is being invested.

An Islamic Finance Council UK survey conducted in 2023 finds that for 90% of respondents, it is important that their bank provides products that align with the United Nations’ Sustainable Development Goals.

Algbra, founded by Zeiad Idris and Fizel Nejabat, is the first Shariah-compliant and B-Corp-certified fintech firm to be authorized by the UK Financial Conduct Authority as an electronic money institution. The company offers its full-stack proprietary technology internationally as a turnkey digital banking solution.

 “I am thrilled for Algbra to be partnering with SC Ventures and Shoal. What is most exciting about this is the deep purpose-alignment of our companies to do good, and our commitment to go beyond the UK to serve communities in Asia, Africa and the Middle East,” says Algbra CEO Zeiad Idris. “I look forward to what more we can achieve together in our common quest to drive commerce and prosperity.”

There are strong synergies in the Shoal and Algbra offerings and across target markets. Incubated by SC Ventures, Shoal is a B-Corp-certified sustainable finance platform that allows retail customers to reach their financial goals, while supporting sustainable development and the fight against climate change.

Shoal will leverage Algbra’s technology capabilities to distribute its products to UK retail customers while Algbra will incorporate Shoal as part of its ESG-centric business-to-business solutions globally.