Zywa, a FinTech start-up that focuses on teenagers, raised $3 million in a new funding round with the company’s valuation now reaching more than Dh110m ($30m) the company announced on Tuesday.
The start-up, which is part of Abu Dhabi’s global tech ecosystem Hub71, offers a prepaid card to teenagers and an app to manage and save money.
Investors who participated in the latest funding round included Goodwater Capital, Dubai Future District Fund, Rebel Fund, Trampoline VC, Zemu VC, some European family offices and strategic angel investors, Zywa said in a statement.
The new funds will help the company to focus on product, growth and strategic partnerships to accelerate its growth in the UAE and Egypt markets, and support the launch of its services in Saudi Arabia — the Arab world’s biggest economy — by early next year, said Alok Kumar, co-founder and chief executive of Zywa.
“Gen Zs in the UAE spend about Dh5 billion every year and still rely on cash or their parents’ cards, despite having options like supplementary cards issued by their parents’ banks," he said. "While these options give access to digital payments, they are not fundamentally designed for Gen Z and this is where we add value."
Founded in 2021, Zywa offers a gamified community-based banking app and payment card to Gen Z youngsters aged 11 to 25. Through the app, parents can send money to their children and oversee their spending and saving habits.
In the Middle East, the FinTech sector is undergoing rapid expansion. By 2022, more than 800 FinTech companies operating in various segments such as payments, InsureTech and cyber security, are projected to raise more than $2bn in venture capital funding to boost their growth, UAE lender Mashreq said in February, citing data from the Middle East Institute.
Globally, digital payments are expected to grow to $8.26 trillion by 2024, from $4.4tn in 2020, Statista said.
Zywa in February raised $1m in a pre-seed round that was led by Y Combinator. It recently joined Hub71, gaining access to Abu Dhabi’s capital ecosystem, a global network of partners and a community of highly skilled talent.
“With Gen Z, we need to hit the nail on the sweet spot between community, gamified learning and payment access,” said Nuha Hashem, co-founder and chief technology officer of Zywa.
“We want them [Gen Z users] to experience banking in a cool way that sets a high standard for them in the future. This funding will also help us tailor the product to a new audience in my home country [Egypt] and the country where I grew up [Saudi Arabia]."
In only four months of the pre-seed round, Zywa received more than 100,000 sign-ups.
“We are excited to back Zywa as we believe financial education needs to be revolutionised for teens in this changing economy,” said Samantha Ku, chief operating officer of Square Financial Services, one of the strategic angel investors who joined the latest funding round.
The bio
His favourite book - 1984 by George Orwell
His favourite quote - 'If you think education is expensive, try ignorance' by Derek Bok, Former President of Harvard
Favourite place to travel to - Peloponnese, Southern Greece
Favourite movie - The Last Emperor
Favourite personality from history - Alexander the Great
Role Model - My father, Yiannis Davos
Company Profile
Name: Thndr
Started: 2019
Co-founders: Ahmad Hammouda and Seif Amr
Sector: FinTech
Headquarters: Egypt
UAE base: Hub71, Abu Dhabi
Current number of staff: More than 150
Funds raised: $22 million
SRI LANKA SQUAD
Upul Tharanga (captain), Dinesh Chandimal, Niroshan Dickwella
Lahiru Thirimanne, Kusal Mendis, Milinda Siriwardana
Chamara Kapugedara, Thisara Perera, Seekuge Prasanna
Nuwan Pradeep, Suranga Lakmal, Dushmantha Chameera
Vishwa Fernando, Akila Dananjaya, Jeffrey Vandersay
Company profile
Name: Tharb
Started: December 2016
Founder: Eisa Alsubousi
Based: Abu Dhabi
Sector: Luxury leather goods
Initial investment: Dh150,000 from personal savings
COMPANY%20PROFILE
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The Sheikh Zayed Future Energy Prize
This year’s winners of the US$4 million Sheikh Zayed Future Energy Prize will be recognised and rewarded in Abu Dhabi on January 15 as part of Abu Dhabi Sustainable Week, which runs in the capital from January 13 to 20.
From solutions to life-changing technologies, the aim is to discover innovative breakthroughs to create a new and sustainable energy future.
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
The Gandhi Murder
- 71 - Years since the death of MK Gandhi, also christened India's Father of the Nation
- 34 - Nationalities featured in the film The Gandhi Murder
- 7 - million dollars, the film's budget
