The open banking payments volume in the GCC is forecasted to rise from $230 billion in 2023 to over $930 billion by 2028. Real-time payment systems across member countries are driving this transformation, with key players like Revolut, Stripe, and Tarabut Gateway establishing a foothold in the region.
The GCC region, led by the UAE and Saudi Arabia, is witnessing a surge in fintech activity fueled by open banking advancements and supportive government initiatives.
Investment and Innovation Hubs
Fintech hubs like Abu Dhabi Global Market (ADGM) and Dubai International Financial Centre (DIFC) are fostering a vibrant ecosystem. These hubs, combined with forward-thinking regulations under Saudi Vision 2030 and the UAE Centennial Plan 2071, are attracting global fintechs and investors.
Sector experts highlight the importance of open banking for seamless financial experiences, financial inclusion, and digitization. Nauman Hassan, Regional Director – MENA at Paymentology, emphasizes the potential for innovation, with initiatives such as the Buna payment platform and Project Aber strengthening the region’s financial infrastructure.
Venture Capital Interest
The fintech sector is also attracting significant venture capital and private equity investments. For instance, Tarabut Gateway’s $32 million funding round exemplifies the growing investor appetite. As the GCC embraces advanced technologies like AI, blockchain, and Banking-as-a-Service (BaaS), collaboration between banks and fintechs is expected to accelerate, creating innovative and cost-effective financial solutions.
Future Outlook
The GCC’s integrated open banking ecosystem will enable low-cost cross-border payments and standardized financial services. With strong government backing and robust infrastructure, the region is positioned as a global leader in fintech innovation.