Why Saudi Arabia is a fast-growing fintech hub

Saudi Arabia is emerging as a leading hub for fintech innovation, driven by its strategic Vision 2030 which aims to spur on a diversified, knowledge-based economy. 

As part of Vision 2030, the country wants to establish at least 525 fintech companies and create 18,000 fintech job opportunities. In 2023, the number of people estimated to be working in the Kingdom’s fintech sector amounted to 5,400.

The fintech sector in the Kingdom is expected to grow from $64bn in 2024 to $87bn by 2029, according to Mordor Intelligence. In addition, the number of fintech companies in Saudi Arabia has increased from 89 in 2022 to 200 in 2023, according to data from the Kingdom’s Dastak Accelerator.

Amid this backdrop, the 24 Fintech event — which will be hosted in Riyadh from 3-5 September — is expected to attract 26,000 attendees, 300 exhibitors, 200 investors, 80 start-ups, and host up to 175 hours of expert-led content.

“Saudi Arabia’s strategic location and forward-thinking policies make it a prime destination for FinTech innovation. The Kingdom is not only embracing change but actively shaping the future of financial technology,” says Annabelle Mander, senior vice president at Tahaluf (one of the organising partners of 24 Fintech).

When it comes to what will set 24 Fintech apart from other fintech conferences and festivals across the globe and region, Mander said the event’s foundation is built on several key differentiators.

Firstly, it is hosted by prominent entities such as the Financial Sector Development Program (FSDP), Saudi Central Bank (SAMA), Capital Market Authority (CMA), and the Insurance Authority (IA) with co-organisation by Fintech Saudi and Tahaluf.

“This strong governmental backing is pivotal,” says Mander.

Pivotal hosts, co-organisers

Putting together an event of this nature, requires the highest levels of support. Here is a breakdown of who some of the key hosts behind 24 Fintech‘s inaugural event in Riyadh.

• Financial Sector Development Program (FSDP): The FSDP aims to increase the percentage of ownership of bank accounts among adults in Saudi Arabia. It also aims to create a shift towards financing productive financial assets, such as lending to small and medium enterprises. As part of its target, it eyes increasing the share of financing SMEs from banks from 5.7 per cent in 2019 to 20 per cent in 2030.
• Saudi Central Bank:
Established in 1952, the Saudi Central Bank is entrusted with performing many functions related to several laws and regulations in the Kingdom. As part of its mandate, it is tasked with dealing with the banking affairs of the government, minting and printing the Saudi Riyal, strengthening the currency and stabilising its value, managing the Kingdom’s foreign exchange reserves, and ensuring stability of prices along with the exchange rate. The central bank also targets promoting growth of the Saudi financial system as well as supervising commercial banks, exchange dealers, finance companies, and credit information providers.
• Capital Market Authority:
CMA is the Saudi Arabian government’s financial regulatory authority responsible for capital markets in the Kingdom. The CMA is a government organisation applying full financial, legal, and administrative independence. Its responsibilities include setting and policing financial rules and regulations and developing the capital markets. This includes regulating the Tadawul, Saudi Arabia’s stock exchange. CMA is the first government authority to receive accreditation in institutional structure maturity from the National Enterprises Architecture (NEA) of the e-Government Program Yesser.
• Insurance Authority: 
The IA was established in Saudi Arabia last year, with it officially starting its activities on 23 November 2023. The IA has a mandate to become the dedicated regulator for the Kingdom’s insurance sector. As part of this, it aims to regulate, supervise, and control the insurance sector in the Kingdom in a way that supports and enhances its effectiveness, works to develop insurance awareness, protect the rights of the insured and beneficiaries, stabilise the insurance sector, contribute to financial stability, promote and develop the insurance sector, and work to consolidate the principles and pillars of the insurance contractual relationship.

• Fintech Saudi was launched by the Saudi Central Bank in partnership with the Capital Market Authority in April 2018 to act as a catalyst for the development of the fintech industry in Saudi Arabia. Its aim is to transform Saudi Arabia into an innovative fintech hub with a thriving and responsible fintech ecosystem.
• Tahaluf is a strategic alliance between Informa and the Saudi Arabian Federation for Cyber Security and Programming (SAFCSP). The company has become well-known for hosting major tech events in Saudi Arabia, including LEAP, Black Hat Middle East, and CityScape.

To learn more about 24 Fintech, you can visit www.24fintech.com.