The Middle East and Africa are emerging markets for fintech opportunities, according to a white paper, “A Roadmap for Fintech Firms Entering Fast-Growing Emerging Markets,” by LendIt Fintech.
The region represents diversified market segments, ranging from high-net-worth investors to a sizable unbanked population that is nonetheless “mobile phone native” and eager to adopt finance apps. Financial regulators in this region are creating sandbox environments in which fintech startups can innovate. Moreover, accelerators are playing a major role in driving the growth of fintechs by facilitating access to the market.
“The financial sector in the Middle East and Africa are, in some ways, less burdened by legacy systems and freer to adopt innovations than is the case in many more ‘mature’ financial centers. This provides entrant companies with a special opportunity to showcase new approaches,” said Stephen Scott, CEO, Starling Trust, in the report.
According to MENA Research Partners, the fintech market in the Middle East and North Africa (MENA) was estimated at $2 billion in 2018 and is expected to reach approximately $2.5 billion by 2022.
To read the full report, click here.