The fintech market in the Middle East and North Africa (MENA) region is poised for significant growth in the coming years. According to a study by MENA Research Partners (MRP), startups in the region are expected to attract $2.5 billion in deals by 2022. This growth is driven by the increasing interest from investors in the fintech opportunities in the region.
The research estimates that the MENA fintech market will experience an annual growth of $125 million until 2022. This growth is attributed to the shift in funding sources for fintech startups. While venture capital firms were the primary source of funding in 2010, there has been an increase in funding from accelerators, private equity institutions, corporations, banks, and angel investors.
The United Arab Emirates (UAE) is expected to emerge as a leading fintech hub in the MENA region. The country benefits from government support, a thriving accelerator ecosystem, and a pool of venture capital firms looking to tap into the fintech scene. With these elements in place, the UAE is well-positioned to attract fintech startups and foster innovation in the industry.
Here are ten fintech startups in the UAE that are worth watching:
1. Souqalmal.com: Founded in 2012, Souqalmal.com is a leading financial products comparison platform in the Middle East. The startup has operations in the UAE, Saudi Arabia, and Kuwait and has raised $14.5 million in funding.
2. Bayzat: Bayzat is an online health insurance and HR solutions provider founded in 2014. The platform allows individuals and companies to compare and buy health insurance policies. Bayzat has raised $12.6 million in funding.
3. Beehive: Founded in 2014, Beehive is a peer-to-peer lending platform for small and medium-sized enterprises (SMEs). It is the first platform to be regulated in the MENA region and has already financed over $50 million worth of loans. Beehive has raised $10.5 million in funding.
4. Yallacompare: Yallacompare is a financial comparison platform that helps users find and compare various financial products. The platform is live in nine countries and has raised $10.1 million in funding.
5. Eureeca: Eureeca is a crowdinvesting platform that connects online investors to businesses in exchange for equity. The platform serves as an alternative financing option to traditional sources and has raised $7.1 million in funding.
6. Remitr: Remitr is a money transfer app that allows individuals and businesses to send money abroad. The startup has recently launched MoneyOS, a blockchain-based operating system for global payments, and has raised $2 million in funding.
7. OneGram: OneGram uses blockchain technology to create a new kind of cryptocurrency backed by one gram of gold. The startup aims to raise more than $500 million through its initial coin offering (ICO).
8. Democrance: Democrance is an insurtech startup that provides an insurance marketplace for the underserved. The company partners with insurance companies and mobile operators to offer insurance products to the microinsurance market in MENA. Democrance has raised $800,000 in funding and secured a $500,000 grant for a partnership project with a UN agency.
9. Bridg: Bridg is a smartphone payment platform that allows users to send and receive money offline. The startup works with local gateways and processors to enable fast deployment across the global landscape.
10. Sarwa: Sarwa is a robo-advisory startup that offers an automated investment management platform for young professionals in the Middle East. The company aims to make investing simple and affordable and has been accelerated by the Fintech Hive.
With the increasing interest in fintech in the MENA region, these startups are well-positioned to take advantage of the growth opportunities. As the UAE emerges as a leading fintech hub, these startups will play a crucial role in driving innovation and shaping the future of the industry in the region.
I have over 10 years of experience in the field of cryptocurrency and blockchain technology. I have attended numerous conferences and events around the world, and my work has been featured in major publications such as CoinDesk, Bitcoin Magazine, and Yahoo Finance.
