The global Islamic fintech market is projected to reach $341 billion by 2029, supported by rising demand for digital assets and sustained momentum in the Middle East. Therefore, the sector continues to expand at a pace that outperforms many conventional fintech segments.
Valued at $198 billion in 2024/25 by transaction volume, the industry is expected to grow at a compound annual rate of 11.5%. The forecast was published by DinarStandard and Elipses in partnership with the Qatar Financial Centre and the Islamic Development Bank Institute. As a result, the outlook highlights strengthening institutional support for Shariah-compliant financial innovation.
GCC Dominance in Global Market
The market remains concentrated within the Gulf Cooperation Council region. Notably, Saudi Arabia, United Arab Emirates, Kuwait, and Qatar rank among the world’s top 10 Islamic fintech markets.
Together with Malaysia, Indonesia, Iran, Turkey, Bangladesh and Pakistan, these countries account for 93% of global Islamic fintech activity. Consequently, growth remains anchored in both the GCC and key Asian markets with established Islamic finance ecosystems.
Country-Level Projections
Within the GCC, Saudi Arabia leads with an estimated market size of $77.2 billion. Moreover, projections indicate the market could expand to $120.9 billion by 2029, reinforcing its regional leadership.
The UAE follows with a current market size of $10.5 billion, which is expected to reach $15.6 billion over the same period. Meanwhile, Kuwait’s $8.9 billion market is forecast to grow to $16.8 billion, and Qatar’s $3.1 billion segment is projected to rise to $4.8 billion by 2029.
Overall, sustained regulatory support and rising digital adoption continue to drive scale across Islamic fintech markets, thereby positioning the sector for accelerated expansion through the end of the decade.
