FinTech Galaxy aims to re-imagine inclusive financial services in the MENA region where Open Finance is forecast to reach $11 billion by 2027
Fintech Galaxy has become the first central bank regulated Open Finance platform in the MENA region after receiving a license from the Central Bank of Bahrain (CBB), allowing the firm to operate as a regulated Third-Party Provider (TPP) and transform the way banks, financial institutions and merchants attract new customers.
The Account Information Services Provider (AISP) license enables the company to integrate its Open Finance API platform, FINX, into multiple bank APIs through a unified interface, providing secure and consent-driven access to enrich customers’ account information.
Mirna Sleiman, CEO & Founder of Fintech Galaxy, commented: “By getting the FINX platform licensed as a TPP in Bahrain, our vision as a regulated Open Finance platform is moving the needle on financial inclusion. It is a critical step for us in our relentless effort to drive innovation and open up the financial sector across the region. Crucially, we are now primed to accelerate financial inclusion for many millions of people as we lead a market that is forecast to grow by more than seven-fold to reach $11.74 billion by 2027.”
Operating in full compliance with Bahraini Open Banking Standards and in alignment with the European Union’s PSD2 regulations and UK best practices, the license will help banks, financial institutions and merchants widen their customer base and provide innovative product offerings. These include a 360-degree view of a customer’s financial footprint to financial planning, budgeting and savings goals tailored to the end-user’s financial behavior. Consumers also benefit by gaining faster, seamless access to other platforms and products that meet their unique needs and circumstances.
The company, which now operates in 4 markets across MENA, is on a mission to build the most secure, reliable, and developer-friendly Open Finance platform in the world. Being CBB-licensed will strengthen Fintech Galaxy’s presence in Bahrain and pave the way for further expansion across the region and beyond, with a wide array of use cases, bringing more value to SMEs, merchants, corporates and even regulators.
Sleiman explains how, “With a team that has over 100 years of combined experience in Open banking, we have acted as a passionate catalyst for fintech innovation and inclusion for many years in the MENA region. By bringing the entire region’s ecosystem together, our work has been fundamental in unleashing the vast potential of the MENA banking market, driven in part by the impact of the COVID-19 pandemic and a young and highly digitally engaged demographic. As the first central bank regulated Open Finance platform in the MENA region, we can now create opportunities for process improvement and new value creation for businesses, including financial and non-financial firms, which will finally be able to focus on developing their products and services without having to worry about compliance issues and technology infrastructure.”
The MENA Open Banking market is anticipated to grow with an average CAGR of 25% to reach $1.17Bn by 2027, up from an estimated $03.5 billion – $0.42 billion in 2022. The license provides enormous scope for FINX to lead the development of multiple high-potential Open Banking and Open Finance-powered use cases for SMEs, merchants, large corporates and even government bodies. They include use cases in retail banking, lending, financial management (personal and business), treasury management, accounting, ERP, investments, and streamlined payments.