The Global Islamic Fintech Report (GIFT) 2021 presents that out of 64 key Islamic Fintech markets, the Organization of Islamic Cooperation (OIC) member countries dominate the top 10, particularly Malaysia, Saudi Arabia, United Arab Emirates (UAE), and Indonesia.
As a matter of fact, the booming Islamic Fintech landscape is projected to grow to $128 billion by 2025 at a 21 percent compound annual growth rate (CAGR). The report estimates that Saudi Arabia, Iran, UAE, Malaysia, and Indonesia are the largest contributors to the $49 billion worth of Islamic Fintech transaction volume among OIC countries.
In detail, Saudi Arabia ranked second in the GIFT Index. Moreover, the Arab country had the largest estimated Islamic fintech market size in 2020, valued at $17.9 billion. This is expected to grow by 22 percent annually to reach $47.5 billion by 2025.
As a result of GIFT’s opportunity analysis, Kuwait, Pakistan, Qatar, Bahrain, and Jordan are also fast-maturing ecosystems. Furthermore, within the Middle East and North Africa - Gulf Cooperation Council (MENA-GCC) region, leading Islamic Fintech opportunities include payments, deposits and lending, alternative finance, digital assets, and wealth management.
Nejoud Almulaik, director of Fintech Saudi, an initiative launched by the Saudi Central Bank and the Capital Market Authority commented on the KSA’s standing in the report: “We continue to work with all the relevant stakeholders in the Kingdom to develop an environment in which Islamic fintech companies can prosper and become global leaders in driving Islamic fintech innovation.”