Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?

I am a Global Strategy and Excellence Lead at stc. Previously,I have worked as a Market Research and Strategy Consultant at IDC and was a Business Advisor at the Group CEO's office at ABHG, one of the largest investment companies in Saudi Arabia, within the Fintech and Emerging Tech space.

Prior to that, I also held a position as a Project Manager at e& Digital (Etisalat), in the UAE, where I was involved in end-to-end planning and execution of digital transformation projects across the country. I am experienced in Market Research, Strategy Development, Business Analytics, Financial Modelling, Project Management, and Entrepreneurship, within Fintech, IoT, AI, Cybersecurity, and Emerging Tech. I also co-founded 2 startups in the Fintech and EdTech space, and am highly self-motivated with leadership qualities complementing my innovative mindset.

 

Q2. Which are the most significant fintech market segments in MENA today contributing to rapid growth, and which segments hold the greatest potential over the next 3–5 years?

The fintech market in the MENA region is continuously growing and evolving. Over the last few years, the number of fintech companies has risen to more than 1,000. BNPL, Wealth Management, and SME Finance. These three segments within the fintech industry in the MENA region are leading the growth of the fintech ecosystem. Although the emergence of digital banks and e-wallets has led the segment, these 3 will gain higher traction in the coming years due to their niche and higher demand from the consumer end.

 

Q3. How do you quantify the market size and investment opportunity in emerging fintech verticals like BNPL, crypto, and embedded finance in MENA over the next five years?

To quantify the MENA fintech market over the next five years, the BNPL market is expected to grow significantly, with a 20% year-on-year increase in 2025, reaching an estimated $5.79 billion in 2025, and potentially exceeding $11.74 billion by 2030.  MENA is the 7th largest crypto market globally, receiving $338.7 billion in on-chain value in mid-2024, and showing strong growth drivers like increased institutional adoption. Embedded Finance’s market growth is linked to high smartphone penetration, digital adoption, flourishing e-commerce, and demand for seamless financial experiences within non-financial platforms.

The broader MENA fintech market is projected for robust growth, with an anticipated 35% annual growth in net revenue until 2028, outperforming the global average. Some of the growth drivers / opportunities are:

Demographics: Young, tech-savvy, and digital-native population ready to try new financial services.

Regulatory Environment: Positive and far-sighted regulatory bodies, particularly in specific sectors like crypto and digital assets, are attracting investment.

E-commerce and Digitalization: E-commerce is booming, and the overall digital adoption is fueling demand for embedded financial solutions.

 

Q4. How are digital payments evolving in MENA, and what innovations or partnerships are driving higher adoption rates?

Digital payments in the MENA region are rapidly evolving from a cash-based economy to a cashless economy. The emergence of local real-time payments/instant payment services like SARIE in KSA, AANI in UAE, Maal in Oman, etc., is driving innovation at the national level. E-wallets, Super-Apps, BNPLs, Open Banking, AI, and Machine Learning are all together fueling the digital payments markets, making transactions seamless, secure, and building consumer trust.

Fintech and Telco Partnerships: Collaborations between telcos and fintech innovators are driving the e-commerce landscape and driving digital commerce growth.

Payment Facilitator Models: New payment facilitators are changing how businesses, acquirers, and card networks collaborate, creating more flexible payment options.

Cross-Regional Initiatives: The development of regional payment systems, such as the GCC RTGS, aims to connect and modernize payment infrastructures across the region.

 

Q5. What product development trends are fintech firms prioritizing to capture market opportunities, especially in regulatory-compliant AI-driven personalization and payment technology?

Fintechs are now embedding AI-based technologies within their fintech apps to capture the market opportunities.

Hyper-Personalization: Fintech firms are moving from traditional segmentation to real-time, dynamic personalization powered by AI, tailoring financial advice, products, and services to individual needs and behaviors.

360 Degree Customer Experience: This includes personalized dashboards, real-time financial insights, and tailored product recommendations, especially important for digital-first consumers like Gen Z.

Companies are using AI for compliance by leveraging AI and Machine Learning (ML) for automated compliance monitoring, fraud detection, and Anti-Money Laundering (AML) activities.

There are multiple software available in the market for Real-Time Regulatory Monitoring for continuous surveillance systems for instantaneous detection of potential regulatory breaches and continuous monitoring of transactions.

 

Q6. What are the anticipated regulatory challenges related to cryptocurrency, cross-border payments, and data privacy in MENA’s fintech landscape, and how are companies preparing to mitigate these risks?

The MENA region already faces regulatory challenges in cryptocurrency, cross-border payments, and strict data privacy within the fintech sector. Companies are preparing through increased compliance measures, strategic technology adoption, and public-private collaborations.

Cryptocurrency Regulatory Challenges

The regulatory environment for crypto in MENA is highly fragmented - ranging from proactive regimes in the UAE and Bahrain to outright bans in Kuwait and Qatar. Prioritized risks include money laundering, terrorism financing, scams, and cybersecurity vulnerabilities. Companies struggle with varying licensing requirements, mandatory registration of Virtual Asset Service Providers (VASPs), and robust AML/KYC protocols. The lack of a unified regional policy complicates cross-border crypto operations and increases compliance costs as well.

Fintech firms are mitigating these challenges by:

• Securing licenses in multiple jurisdictions and establishing comprehensive AML/KYC and risk-based monitoring
• Engaging with regulators beforehand through sandboxes and industry forums

 

Cross-Border Payments Regulation

Cross-border payments in MENA are tested by diverse regulatory standards, varied compliance thresholds, and sometimes unclear legal status for non-bank entities. Traditional payment systems are inefficient, while blockchain-based solutions are increasingly adopted for speed and transparency, supported by evolving local regulations. To navigate these, fintech companies:

• Deploy orchestration platforms with unified APIs to connect to different banks and payment systems
• Leverage blockchain for transparency and faster settlements
• Form partnerships with licensed payment institutions to ensure compliance and market entry

 

Data Privacy Risks

Emerging and inconsistent data privacy laws across MENA create uncertainty, especially affecting startups and SMEs. There’s often ambiguity on proportional compliance, slow customer onboarding, and digital adoption.

Mitigation strategies include:

• Early adoption of privacy-first business models and advanced compliance tools
• Implementation of AI-driven and machine learning fraud prevention systems
• Adopting cloud-based solutions for secure, standardized operations across borders
• Participating in sector-wide public–private cybersecurity and data privacy initiatives

Fintech firms are dedicating significant portions (25-30%) of operational budgets toward regulatory compliance and risk management. The region is seeing a trend toward regulatory harmonization and unified compliance frameworks, though progress is uneven. Tech-driven compliance - such as distributed ledgers, automated monitoring, and integrated multi-cloud solutions - is becoming mainstream to reduce costs and accelerate market entry.