Tarabut Gateway raises US$32m to boost ‘open banking’ in Saudi Arabia

<strong>Tarabut Gateway raises US$32m to boost ‘open banking’ in Saudi Arabia</strong>

Tarabut Gateway, MENA’s leading open banking platform, has announced the completion of a US$32 million Series A fundraise, led by investment firm Pinnacle Capital, according to the company’s press release.  

Open banking is refering to the banking practice between financial institutions. The raise has also seen participation from  Aljazira Capital, Visa, Tiger Global, and other leading existing investors.

“Open banking is reshaping the financial landscape in KSA and the wider Middle East. This fundraise reflects the potential of open banking, our advanced technology, and the trust by our partners both in KSA and globally in our services,” Almoayed added.

In KSA, Tarabut Gateway has achieved over 60% market coverage through partnerships with leading banks such as Alinma Bank, Arab National Bank, Saudi National Bank and Riyad Bank. The Saudi Central Bank (SAMA) has included Tarabut Gateway as one of the first participants in its Regulatory Sandbox, which is a key component of the open banking framework rollout.

Abdulwahab Al Betairi, Founding Partner of Pinnacle Capital said: “We’re thrilled to be backing Tarabut Gateway’s ambitious growth plans. Their innovative approach to open banking and their strong focus on Saudi Arabia make them a perfect partner for us”

Abdulla Almoayed, Founder and CEO of Tarabut Gateway, said: “Tarabut Gateway takes pride in its diverse investor base, which highlights the company’s regional leadership in open banking, and operational achievements. Tarabut Gateway’s mission is to create an open financial services sector that delivers open banking benefits to MENA’s consumers, banks, and fintechs”

In April 2022, Tarabut Gateway became the first open banking platform to secure AIS (account information services) and PIS (payment initiation services) Category 4 licenses from the Dubai Financial Services Authority (DFSA). 

The Saudi Central Bank – SAMA – has included Tarabut Gateway among the first participants of its Regulatory Sandbox, in 2022.

Naif Almesned, the CEO & Managing Director of Aljazira Capital, highlighted: “We believe in the importance of open banking and open data as transformative enablers empowering individuals and facilitating better financial inclusion.

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