Jagjit Singh’s Post

The rapid evolution of Consumer Finance in KSA Here are some of my takeaways from the article by Arab News which captures viewpoints: 🇸🇦 The Saudi Arabia Consumer Finance/ #Fintech Sector is evolving at a rate faster than ever before 🇸🇦 The evolution within the sector is being driven by multiple factors including the growing #tech savvy #population 🇸🇦 The consumer finance market is maturing with a range of products, including traditional options like personal loans and credit cards, alongside emerging solutions like BNPL, peer-to-peer lending, and Earned Wage Access (EWA). 🇸🇦 #BNPL adoption in the market ha la exceeded all expectations and is expected to grow from $1.4 billion in 2024 to $2.8 billion by 2029, with companies like Tabby and Tamara driving this growth 🇸🇦 #Microfinance and #microloans are playing a pivotal role in addressing the needs of SMEs and low-income individuals, helping bridge financial inclusion gaps. 🇸🇦 Emerging products like EWA and peer-to-peer lending are gaining traction, offering consumers alternatives to traditional financial services. 🇸🇦 The Saudi Central Bank (SAMA) has fostered a competitive consumer finance landscape, providing a regulatory framework that promotes innovation, transparency, and inclusivity. 🇸🇦 We are starting to see partnerships between traditional financial institutions and fintech startups which are key to delivering value-added services and enhancing customer experiences.

The State Bank of Pakistan (SBP) has approved the #pilotoperations of Hubpay (Private) Limited as an Electronic Money Institution (#EMI) as of October 28, 2024. Hubpay #Pakistan is a subsidiary of Hubpay ADGM which is a licensed financial institution operating in the #UAE. Hubpay ADGM as a business focuses on #internationalpayments and is revolutionising #FX payments and money transfers. It is the number 1 trusted partner for Corporate FX solutions in the UAE and the #first #AI #powered money transfer application with the ability to send money to over 50 #countries. The Hubpay app for consumers has over 1.2 Million downloads.This approval marks a significant step forward for Hubpay Pakistan, enabling the company to initiate its journey toward a full-scale commercial launch in Pakistan. During this pilot phase, Hubpay will provide a select group of users with access to a limited range of products under the careful oversight of the State Bank of Pakistan. As Hubpay Pakistan progresses through its journey it will look towards bringing products from its group companies into Pakistan in collaboration and concurrence with State Bank of Pakistan. Hubpay Pakistan’s CEO, Owais Shaikh , expressed excitement over this milestone: “We are thrilled to begin operations in Pakistan and to work closely with the State Bank of Pakistan to bring reliable, accessible financial solutions to the market. This pilot phase is a key first step in our journey to empower individuals and businesses with digital financial services tailored to their needs.” https://lnkd.in/dNwE2Y2i

Qatar’s payments industry is set for notable growth, with total revenues projected to reach $4.15bn by 2028, according to the latest Global Payments Report 2024 from Boston Consulting Group (BCG).

Saudi Arabia FinTech Lending Market Analysis, Innovations, Regulatory Landscape, and ...: Saudi Arabia FinTech Lending Market Analysis, Innovations, Regulatory Landscape, and Growth Potential 2024-2032. Report Ocean Oct. 25, 2024 09:46. 0 ...

It was a real pleasure speaking at the Payments Canada #Summit on the topic of #ACH migration to the RTR once it goes live. Canada's banks have a lot to think about in terms of preparing for the RTR: building a business case, modernizing their back-office processing, educating consumers, merchants, billers, and corporates around the benefits of #instantpayments and how they fit into the wider #payments strategy. While issues like #fraud will never be completely solved, working together as a community is key to protecting all Canadians. And let's not forget about the next frontier: #cross-border instant payments are coming - are you ready?

In just 16 days, Pakistanis conducted financial transactions worth Rs1 trillion using Raast, the instant payment system. This is a significant improvement compared to two years ago, when it took 336 days to reach the same milestone, indicating a growing shift towards digital payments. According to the State Bank of Pakistan (SBP), Raast has processed 892 million transactions worth Rs20 trillion so far, with the most recent Rs1 trillion transacted in just 16 days. The average transaction size through the platform was Rs22,421.52. The SBP's Governor’s Annual Report 2023-24 attributes this growth largely to the Person-to-Person (P2P) module, introduced in February 2022. The rise in digital payments continues with the launch of the Person-to-Merchant (P2M) module, enabling businesses to accept payments via QR codes, Raast IDs, bank accounts, and request-to-pay options, enhancing convenience for both customers and businesses. Additionally, the number of financial accounts grew by 18%, reaching 215 million by the end of FY24, reflecting progress in financial inclusion. The banking sector, despite inflationary pressures, expanded its branch network to 18,355, contributing to increased deposits which saw a 21.6% rise to Rs33,236 billion. While credit growth remained modest, investments in government securities surged by 35.2%. The banking sector's after-tax profits rose 30.4% to Rs645.2 billion, although high taxation, accounting for 52% of pre-tax profits, remains a concern for financial stability. . . . . . . . . . #Initiatemagazine #initiate #initiator #DigitalPayments #Raast #FinancialInclusion #PakistanEconomy #StateBankOfPakistan #Fintech #P2P #P2M #BankingIndustry #EconomicGrowth #Investments #FinancialStability

Open finance getting started in the UK, ahead of Europe! SME Lending. Our oversea neighbors got it right, once more. After succeeding in getting open banking APIs standardized: 🔹 A bright work from Open Banking LTD (formerly OBIE) run by 9 main banks from the UK and Northern Ireland (some ref #openbanking) 🔹 Over 1 in 9 Brits now use open banking services 🔹 17% of users are SMEs The UK government Economic Secretary to the Treasury wants to assess better finance/lending for SMEs: (some ref #Finextra, link in comment) 🔹 Lending, Banks to standardize data exchange, commercial incentives. 🔹 A concrete case as in how Open Finance is to increase competition in between Lending parties 🔹 SMEs to get better and quicker access to capital (else than temporary factoring) 🔹 High impacts on the economy and employment How would this work in my mind? Let's picture this with a PSD3-FIDA eye: ✔ SME is a lending customer of Bank A (data holder), expensive ✔ SME unhappy, asks Bank B (data user) via a licensed party (equivalent to FISP in the EU) an offer in a few clicks ✔ SME consents Bank B + FISP to pull Lending data (contracts, ledger) and transaction data from Bank A ✔ Bank B + FISP pulls the data and automatically assess loan origination for SME ✔ Bank A gets paid for the data it sends (PSD3-FIDA APIs monetized) Learning, food for thoughts: 💡 Local government and FSA/regulator involvement crucial to make it happen 💡 Open Banking in the UK served as an example for EU, hence likely SME Lending to be the first batch of FIDA requirements, along side the definition of data scheme supported by the APIs. 💡 Open Finance is GDP driven, just like eIDAS/EUDI #openfinance #PSD3 #FIDA #Samlink #Banking #Kyndryl #WeAreKyndryl #TheHeartOfProgress

For the 1st week of the Metvy's Finance Cohort, we were provided a task to do a rudimentary fundamental analysis of a stock listed in the stock market. I chose Nabil Bank. About the Company Nabil Bank Limited, established in 1984, is Nepal's first private sector commercial bank. Listed on the Nepal Stock Exchange (NEPSE) under the ticker symbol NABIL, the bank has a strong reputation for providing a range of financial services, including retail banking, corporate banking, SME banking, and international trade facilitation. As of 2024, Nabil Bank is one of Nepal’s most stable and highly capitalized banks. Average price of stock throughout years 2014: NPR 1,500 2015: NPR 2,000–2,200 2016: NPR 2,300–2,800 2017: NPR 1,800–2,200 2018: NPR 1,200–1,600 2019: NPR 1,200–1,500 2020: NPR 1,100–1,300 2021: NPR 1,800–2,500 2022: NPR 1,500–1,800 2023: NPR 1,200–1,600 2024: NPR 526 Risks · Economic and political instability. · Regulatory risks. · Competition (local and international banks entering the market like Standard Chartered Bank Nepal, Nepal Investment Bank). Opportunity · Fintech integration · Expanding in the remittance market Sustainability and green banking Business model · Retail banking (Savings account, fixed deposits, personal loans, credit cards) · Corporate banking (Business loans, trade finance, cash management) · Digital and mobile banking (mobile banking, QR code payments) · Treasury and investment banking (Foreign exchange services, investment solutions) · Risk management and compliance (Credit risk management, operational risk, market risk) #finance #Financialliteracy #fundamentalanalysis

The Global State of Open Banking and Open Finance Report by the Cambridge Centre for Alternative Finance, Cambridge Judge Business School (CCAF) is a must-read for anyone interested in the future of financial innovation. Here are the key takeaways: 🔹 Global Progress: 95 jurisdictions are adopting Open Banking, but only 16 have advanced to Open Finance, signaling untapped potential in expanding beyond payment account data. 🔹 Regulation Leads the Way: Regulation-driven frameworks (54 jurisdictions) are accelerating adoption, ensuring better standardization, and delivering results 22% faster than market-led approaches. 🔹 Emerging Markets Shine: Countries like India (Aadhaar, UPI), Brazil, and Nigeria are spearheading financial inclusion efforts by leveraging digital public infrastructure to reach underserved communities. 🔹 Challenges Remain: Bridging the gap between policy objectives and implementation is crucial. Many frameworks face hurdles in trust-building, standardization, and extending into sectors like insurance and lending. 🔹 Looking Ahead: The future lies in Open Data ecosystems, integrating finance with other sectors (e.g., energy, healthcare) to create cross-industry innovation and value. Read more below👇 Bryan Zhang, Pavle Avramović, Sanya Juneja, Bill R., Alan Ainsworth, Central Bank of Nigeria, Saudi Central Bank – SAMA, 💯 Imran Sumra, Ali Hussein Kassim #openbanking #openfinance #

++ KCB Bank Group and dLocal Partner for Faster Remittances to #Kenya ++ KCB Bank, one of East Africa’s largest banks and dLocal, a global payments solutions provider focusing on emerging markets, have forged a Strategic Partnership that has been approved by the Central Bank of Kenya (CBK). "We are delighted to collaborate with dLocal to transform the payment industry. This partnership does not only offer cutting-edge remittance solutions to the bank’s diverse customers, but also extends the reach of KCB’s financial and digital ecosystem to empower the lives of our customers and businesses across Africa." - Mrs. Annastacia Kimtai, Managing Director, KCB Bank Kenya "As the fifth largest inbound remittance market in Africa, many other markets look up to Kenya when it comes to personalized financial offerings. Having received the necessary regulatory approvals, we are now well positioned to offer a fast, streamlined, and reliable option to KCB customers, and pave the way for further growth for dLocal’s payout solutions." - John O'Brien, Chief Revenue Officer, dLocal #techafricanews #africa #kenya #fintech #growth #payout #solutions #personalized #financial #offerings #remittance