You may not notice, but you use financial technology (Fintech) every day without even realizing it, simply because you are used to it. Most of us have either transferred money, made payments, or even deposited a check through their smartphones. Financial technology is also included in a wide range of fields including blockchain and cryptocurrencies.
The financial technology sector is considered one of the most prominent emerging sectors that depend on financial services development through modern technological programs and applications.
In the Arab world, the UAE and Saudi Arabia are witnessing significant growth in the Fintech sector that provides financial services through information technology and internet solutions.
Saudi Arabia
In 2021, the number of financial technology companies in Saudi Arabia increased by 37%, while the volume of investments in the sector exceeded 1.3 billion riyals.
The Kingdom has been able to develop and expand the infrastructure in the financial sector and has achieved an advanced ranking in the world of fintech in a short period to reflect positively on individuals, institutions, and financial and non-financial companies.
UAE
As for the UAE, it is one of the leading countries in the fintech market in the MENA, where the value of the market is expected to reach a record $2.5 billion by 2022.
The number of companies specializing in fintech continues to increase steadily, and digital banking, wealth management, and digital remittances and payments constitute an important segment in this sector.
Fintech and startups
The Fintech sector dominates startups with 13 companies in the MENA, followed by the e-commerce sector with 11 companies. While food technology companies top the list, in terms of total funding value of $874.9 million.
Top 10 most funded fintech startups
Here are the top 10 most funded FinTech startups in Saudi Arabia and the UAE
1- Tabby
Founders: Hosam Arab, Daniil Barkalov
Total Funding: $130 million
Headquarters: UAE
Established in: 2019
tabby provides buy now, pay later solutions to over a million active shoppers across the UAE and Saudi Arabia, who use it to access over 3,000 brands.
2- Tamara
Founders: Abdulmajeed Alsukhan, Turki Bin Zarah, Abdulmohsen Albabtain
Total funding: $116 million
Headquarters: Saudi Arabia
Established in: 2020
Tamara allows online and in-store shoppers in Saudi Arabia, the UAE and Kuwait to split their payments across three installments. It was the first to acquire a sandbox license from the Saudi Central Bank in its category in 2020.
3- Sary
Founders: Mohammed Aldossary, Khaled Alsiari
Total funding: $112 million
Headquarters: Saudi Arabia
Established in: 2018
Sary connects small business owners such as restaurants, cafes and hotels with a network of fast-moving consumer goods wholesalers via the application. The company has secured $112 million in financing, $105.5 million of which was secured in 2021, and it plans to use the new funding to expand across the GCC region
4- Postpay
Founders: Tariq Sheikh, Dani Molina Carmona
Total funding: $63.5 million
Headquarters: UAE
Established in: 2019
Postpay offers shoppers the option to split their payments across three monthly installments with no interest or fees. Postpay currently operates in the U.A.E. and Saudi Arabia, with plans to expand across the Middle East within the next 12 months.
5- BitOasis
Founders: Ola Doudin, Daniel Robenek
Total funding: $30 million
Headquarters: UAE
Established in: 2015
BitOasis allows users in the Middle East and North Africa to trade over 30 cryptocurrencies, such as Bitcoin, Ethereum, and XRP.
6- Telr
Founders: Khalil Alami
Total funding: $29 million
Headquarters: UAE
Established in: 2014
Telr enables merchants in the UAE and Saudi Arabia to accept payments online in over 120 currencies and 30 languages. It also provides other services, including social commerce, QR Codes, anti-fraud protection, buy-now-pay-later solutions, and a tool for creating an online store in minutes.
7- PayTabs
Founders: Abdulaziz Al Jouf
Funding: $25.3 million
Headquarters: Saudi Arabia
Established in: 2014
PayTabs offers B2B ecommerce solutions across 49 industries, with electronic invoicing services to businesses, including digital invoicing, pay by QR code or secure social media payment links.
8- Fortune-Sarwa
Founders: Mark Chahwan, Nadine Mezher, Jad Sayegh
Total funding: $25 million
Headquarters: UAE
Established in: 2017
A personal investment and finance platform, with more than 50,000 registered users. The fintech company provides access to on-demand investment experts and is backed by prominent investors such as Mubadala Investments and 500 Startups.
9- Tarabut Gateway
Founders: Abdulla Almoayed
Total funding: $25 million
Headquarters: UAE & Bahrain
Established in: 2018
Tarabut Gateway is a regulated open banking platform that connects a network of banks and Fintechs via an application programming interface.
10-Rasan
Founders: Moayad Alfallaj, Suliman Alfallaj, Thamer Alfallaj
Total funding: $24 million
Headquarters: Saudi Arabia
Established in: 2016
Rasan offers insurance and banking solutions through its affiliated platforms such as car insurance and medical insurance. It has attracted eight million users since its launch.
