São Paulo – The fintech industry has increased in Saudi Arabia, according to the latest annual report by Fintech Saudi, an institution created by Saudi Arabian Monetary Authority (SAMA) in partnership with the Capital Market Authority (CMA). Fintechs are financial services technology companies.
Saudi Arabian newspaper Arab News reported that the number of operating fintechs in the Arab country has increased three-fold in a year, from 20 in 2019 to 60 this year, with more than 100 startups at idea or pre-commercial stage. There has also been an increase in fundraising deals completed in Saudi fintechs for the year to date, with the total investment amount already surpassing 2019 levels.
In its 2019-2020 report, Fintech Saudi points out key developments that have taken place to support the growth of the fintech industry in Saudi Arabia. Fintech Saudi itself was launched precisely to act as a catalyst for the development of the financial services technology industry in Saudi Arabia.
The developments include the launch of Apple Pay, the establishment of Saudi Payments and the continued issuance of regulatory testing licenses and regulations by SAMA and CMA. There have also been major initiatives including the National Commercial Bank (NCB)/Monsha’at fintech accelerator program and the launch of Riyad Bank’s fintech fund.
Fintech Saudi director Nejoud Almulaik told Arab News that, despite the challenges of COVID-19, the country has seen progress in regulations, infrastructure and an increasing number of investment rounds in fintech companies.
Translated by Guilherme Miranda
