Saudi Arabia’s fintech assets under management are expected to near $64 billion; his growth is improving financial inclusion and access to services

Dubai: Saudi Arabia’s fintech assets under management (AUM) are expected to near $64 billion (Dh235 billion) by 2024, reflecting significant growth, according to world bank executive Jean Pesme’s insights at the 24 Fintech in Riyadh. AUM is a financial metric used to quantify the total market value of assets that a mutual fund manages on behalf of its investors at a specific point in time.

Jean Pesme, the world bank’s global director of finance, shared these insights during a panel at the 24th Fintech Conference in Riyadh. He noted that the fintech sector in the Middle East and North Africa is undergoing a major shift from a traditionally bank-centric model, a transformation that is highly beneficial as it revolutionizes the financial system. This growth is not only reshaping the financial landscape but also improving financial inclusion and access to services.

Advances in blockchain, artificial intelligence, and machine learning are reducing costs and delivering significant advantages to both economies and consumers. Pesme highlighted Saudi Arabia’s strategic moves to strengthen its position in the global fintech arena. The country has established a solid regulatory framework, with institutions like the Saudi Central Bank and the Capital Market Authority implementing sandboxes to foster innovation. These sandboxes allow new technologies to be tested in controlled environments, like practices in leading fintech centres such as the United Kingdom and Singapore.