CHEQUING OUT
Embedded lending services are actively bridging financial gaps within businesses by providing easier access to credit . The rise of Buy Now , Pay Later ( BNPL ) services , SME financing and co-branded credit cards exemplify this trend . These lending solutions empower businesses to manage their finances more efficiently , fostering growth and innovation . The impressive growth projection of BNPL services at a CAGR of 13.1 % during 2023 – 2028 in Saudi Arabia underlines the transformative impact of embedded lending in the region .
Embedded investing is also making waves , democratising wealth management services . Businesses can now seamlessly offer investment opportunities integrated into their digital platforms . Non-financial companies , such as the ride-hailing giant Careem , have ventured into investment products , marking a departure from traditional financial institutions and creating a more inclusive approach to wealth creation .
While the prospects of embedded finance are promising , it is crucial to address challenges such as regulatory frameworks , data security concerns and ensuring transparency in financial practices . Navigating these challenges adeptly
Vinay Kapoor , Executive Vice President , Triterras presents opportunities for businesses operating in the UAE . The integration of embedded finance not only opens new revenue streams and enhances customer loyalty , but also establishes a symbiotic relationship between financial and nonfinancial entities .
The UAE government has taken bold initiatives to bolster the nation ’ s financial infrastructure , seamlessly aligning with the rise of embedded finance . For instance , the Central Bank of UAE launched the Financial Infrastructure Transformation Programmeme , a pivotal initiative to accelerate digital transformation in the financial sector . This programme supports digital transactions , fosters innovation and positions the UAE as a hub for financial excellence . Such initiatives foster a climate conducive to greater financial integration ,
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