UAE-based fintech Tabby has been granted permission by the Saudi Central Bank (SAMA) to expand its Buy Now Pay Later (BNPL) solutions to Saudi Arabia.
Tabby, one of MENA’s leading shopping and financial services apps, recently upsized its warehouse debt facility to $350 million following the completion of a new financing round, which it said would be used to support expansion plans.
SAMA announced the decision in a statement on its official site on Tuesday (July 25), bringing the total number of authorised companies now offering BNPL solutions in the country to five. A host of approvals have come in recent months as SAMA ramps up its support for Finance and FinTech sectors in the country, focusing on enhanced operational efficiency and more innovative financial solutions.
In May, SAMA granted Spotii and Madfu permits to provide BNPL services to customers wishing to purchase products or services from merchants without incurring term financing cost.
Dubai-based fintech Spotii had previously launched its shop now pay later platform in the United Arab Emirates, in 2020 before it was acquired by Australia-based Zip in 2021. Madfu, the Riyadh-based startup was given the approval for its solution which allows users of its app to split purchases in designated stores into 3 interest-free payments, as well as earning cashback.
In February, SAMA announced the licensing of two finance companies, Forus and Tameed that specialise in debt-based crowdfunding. The licences were granted to the companies after successful testing of their solutions in SAMA’s Regulatory Sandbox; an experimental environment dedicated to innovative financial products and services in Saudi Arabia.
