The Mena FinTech Association has teamed up with Binance, the world’s biggest cryptocurrency exchange by trading volume, to drive innovation and growth in the FinTech industry as the UAE continues efforts to consolidate its position as a hub for financial technology.
The two entities will collaborate on a range of initiatives to drive the industry forward and promote FinTech innovation, according to a statement from the group on Tuesday.
“We believe that the collaboration will create more opportunities for our members and contribute to the growth and development of the FinTech industry in our region,” said Nameer Khan, chairman of Mena FinTech Association.
Founded in 2018, the MFTA is a non-profit group set up to represent the growing number of FinTech companies in the Middle East and North Africa region. It has worked with regulators and policymakers with a view to offering a regional voice for the industry.
With a network of industry experts, policymakers and stakeholders, the association provides a platform for discussion and collaboration in the FinTech sector.
The global FinTech market is expected to grow at a compounded annual rate of 11.9 per cent between 2022 and 2027 to reach more than $266.9 billion by 2027, according to a report by Expert Market Research.
FinTech start-ups led in both funding and number of deals in the Middle East, Africa, Pakistan and Turkey region last year, according to data from Magnitt. The sector’s funding reached $2.25 billion across 351 deals in 2022.
Binance will provide expertise and resources to the partnership, while the Mena FinTech Association will provide its extensive network of industry connections and knowledge of the local FinTech market, the statement said.
“A free exchange of ideas and discussion is at the core of any successful industry and Binance views its role in the FinTech community as a driver and facilitator of progress through collaborations with institutions and governments to create regulatory frameworks that support innovation and protect customers,” said Richard Teng, regional head of Binance.
“The Middle East FinTech industry is at a critical juncture where stakeholders can develop a collaborative and interconnected community that will thrive for years to come.”
Dubai will host a FinTech summit, which will be organised by the Dubai International Financial Centre, on May 8 and 9 to discuss the future of the sector.
Its agenda will feature discussions on topics including the future of FinTech, embedded and open finance, sustainability, Web3 and digital assets.
The DIFC FinTech Week, which was held in June last year, saw the participation of more than 1,500 FinTech innovators, investment companies, banks, policymakers and service providers in the region.
Investments in the FinTech sector will continue to remain on venture capital and investment funds’ radars, despite slowing economic growth and mounting worries about a global recession, the two-day event heard at the time.