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Fintech News ME
4 days ago
- Business
- Fintech News ME
Qatar Islamic Fintech Sector Hits US$2.7B, Set to Reach US$4.4B by 2028
Qatar, a key player in the regional and global Islamic finance industry, is experiencing strong growth in its Islamic fintech sector. This momentum is projected to continue through 2028, with the industry expected to expand at an annual growth rate of 10%, according to a new report by Qatar Financial Centre (QFC) and the London Stock Exchange Group (LSEG). Qatar's Islamic fintech transaction volume reached nearly QAR 10 billion (US$2.7 billion) in 2024, growing at a compound annual growth rate (CAGR) of 26% from QAR 3 billion (US$824 million) in 2020. Volumes are projected to reach QAR 16 billion (US$4.4 billion) by 2028. According to the report, payments and enabling technologies currently stand as the largest segments of Qatar's Islamic fintech market in terms of the number of companies. This reflects the rising popularity of e-commerce, mobile wallets, and contactless payment solutions. Meanwhile, enabling technologies like blockchain and artificial intelligence (AI) are playing a critical role in modernizing Qatar's financial services sector and enhance the overall financial infrastructure. The digital assets and blockchain segments are also growing in importance, underscoring the region's push to integrate advanced financial instruments within the framework of Islamic finance. Blockchain, in particular, is seen as an attractive technology for enhancing transparency and security, key pillars that align with Islamic finance's emphasis on ethical and transparent financial practices. Strategic initiatives The growth of fintech in Qatar has been underpinned by a series of strategic initiatives and supportive measures. The Qatar Fintech Hub (QFTH), founded by Qatar Development Bank (QDB) in collaboration with the Qatar Central Bank (QCB) in 2020, was created to foster innovation and growth in the fintech sector. The hub supports fintech startups through its incubator and accelerator programs, and provides startups with essential resources, including mentorship and network opportunities. In the same year, the central bank launched a regulatory sandbox for promising fintech solutions, enabling faster market entry, reduced testing periods, and a more streamlined evaluation process. In 2023, the QCB launched the Qatar Fintech Strategy to enhance the competitiveness of its financial sector. The strategy targets several key segments, including digital payments, regtech, insurtech, wealthtech, blockchain and cryptocurrencies, and cybersecurity, and prioritizes developing a pioneering infrastructure and a supportive environment for fintech. The QFC Digital Assets Lab was launched the same year, providing a platform for innovation, research, and development within the field of distributed ledger technology (DLT). Separately, the QCB has made significant progress on its central bank digital currency (CBDC) project, completing the infrastructure for the digital currency and commencing its first pilot in 2024. Supportive regulations In addition to these initiatives, the central bank has introduced a range of regulations designed to accelerate the digital transformation of the financial services industry and expand the scope of fintech solutions in Qatar. These regulations include the Payment Services Regulation, introduced in 2021 to formalize the licensing and supervision of payment service providers; the E-KYC Regulations issued in 2023 to streamline customer onboarding and verification processes through electronic methods, enhancing security and efficiency in identity verification; DLT Guidelines, published in July 2024 to provide a clear regulatory framework for the use of distributed ledger technology in the financial sector; and the Artificial Intelligence Guidelines, issued in September 2024. Other notable regulations issued in 2024 include the Buy Now, Pay Later (BNPL) Regulations, which set licensing requirements and consumer protection measures for such providers, and the Loan-Based Crowdfunding Regulation, which aims facilitate short-term financing for small and medium-sized enterprises (SMEs) through innovative financial platforms. BNPL, blockchain, digital banking among top trends The report also highlights emerging trends and opportunities shaping Qatar's Islamic fintech landscape. First, it emphasizes the potential of BNPL services. Islamic finance principles, which prohibit interest and emphasize ethical lending, align well with the BNPL model's interest-free structure. By integrating BNPL services within a Shariah-compliant framework, fintech companies in Qatar can deliver compelling solutions that combine financial inclusivity with adherence to Islamic principles. Digital-only Islamic banking is another growing trend, with the number of digital-only Islamic banks in the region increasing. This industry is being driven by robust digital infrastructure and growing demand for Shariah-compliant financial services. In Qatar, the opportunities for setting up digital-only banks are promising, supported by a conducive regulatory environment and a high level of digital adoption among the population. Furthermore, the central bank has introduced several regulatory enablers to facilitate the entry of new digital fintech players, including a digital bank regulatory framework. Another trend outlined in the report is the potential of blockchain to create new avenues for growth and resilience in the Islamic finance industry. For example, blockchain can facilitate Shariah-compliant microfinance services, lowering transaction costs and broadening access to financial services. The technology can also improve the efficiency and transparency of Zakat and Sadaqah transactions, which are both forms of charity, ensuring that funds are swiftly and accurately distributed to those in need. Additionally, blockchain can be leveraged for more efficient issuance and trading of sukuk, which are Shariah-compliant financial certificates similar to bonds, increasing their liquidity and attractiveness to investors. Qatar is a prominent player in the global Islamic finance scene, with total assets in the country reaching QAR 694 billion (US$191 billion) by the end of 2024. According to the Islamic Financial Services Board (IFSB), the global Islamic financial services industry reached US$3.8 trillion in total assets in 2024, meaning that Qatar accounted for approximately 5% of the global market share.
Qatar Tribune
15-07-2025
- Business
- Qatar Tribune
QCB issues new rules to improve banking access for elderly and disabled
Tribune News Network Doha In a landmark move to promote financial inclusion, the Qatar Central Bank (QCB) has issued a comprehensive circular mandating all banks and financial institutions in the country to improve access to financial services for the elderly and individuals with disabilities. This initiative aligns with the Third Financial Sector Strategy and Qatar's Environmental, Social, and Governance (ESG) & Sustainability Strategy for the Financial Sector, reflecting the country's commitment to building an inclusive and accessible financial environment. The new guidelines focus on two key customer groups: elderly clients and individuals with disabilities who are capable of making their own financial decisions. Banks are now required to make structural and service-related modifications to ensure that these groups can access and benefit from banking services independently and with dignity. Under the new regulations, all bank branches and ATM locations must be physically accessible. This includes the installation of ramps, electronic doors, and tactile floor signage to support customers with mobility or visual impairments. Furthermore, the targeted customer groups must be given priority when conducting transactions within bank premises, ensuring they are not subjected to long wait times or unnecessary procedural delays. Privacy during banking transactions must be strictly maintained, particularly for customers with disabilities. To bridge communication gaps, the QCB has instructed banks to train a segment of their customer service personnel in basic sign language. Where this is not feasible, institutions are expected to offer virtual interpreter services to assist customers with hearingimpairments. Educational initiatives must also be undertaken to inform these vulnerable groups, especially the elderly, about the risks of over-indebtedness, thereby enabling them to make informed and responsible financial decisions. A key feature of the directive is the requirement that at least 15 percent of all ATM machines be equipped with Braille and audio headset facilities. These machines must be clearly marked with symbols indicating which types of disabilities they support. Banks are also responsible for guiding customers with disabilities to the nearest accessible branches or ATM facilities to ensure smooth and uninterrupted access to essential banking services. The Central Bank's instructions also place strong emphasis on protecting elderly clients from financial exploitation. Bank employees will receive training to recognize and respond appropriately to signs of financial abuse. Institutions must take proactive steps by meeting with elderly customers to confirm the details of financial arrangements, particularly those involving powers of attorney, and ensure that these clients fully understand the legal implications. Elderly individuals must also be encouraged to seek independent legal or financial advice before authorizing another person to manage their financial affairs. To ensure uniform implementation, QCB has given all banks and financial institutions operating in Qatar a period of five months to comply with the new set of regulations. This move by Qatar's apex banking authority is a significant step toward fostering a more inclusive, equitable, and supportive financial landscape—one that acknowledges and accommodates the diverse needs of its citizens.
Qatar Tribune
15-07-2025
- Business
- Qatar Tribune
QCB issues instructions on financial services for customers with disabilities and the elderly
In line with the Third Financial Sector Strategy and the ESG and Sustainability Strategy for the Financial Sector on Enhancing Financial Inclusion, Qatar Central Bank (QCB) has issued instructions on financial services for customers with disabilities and the elderly. QCB indicated that the targeted groups include customers with disabilities who are able to make their own decisions, as well as the elderly. The circular outlines several required provisions, including facilitating access for customers from the targeted groups in all bank branches and ATM locations for banking services by providing ramps, electronic doors, tactile floor signs. QCB stressed giving priority to the targeted groups when conducting transactions in the bank, ensuring privacy for customers with disabilities, and training a portion of the customer service staff on the basics of sign language or providing a virtual interpreter, in addition to educating targeted customers about the risks associated with over-indebtedness, providing ATMs equipped with Braille and audio headsets at a rate of 15% of the total number of ATMs, and placing a clear signal on ATM machines indicating the type of disability supported by the machine. Additionally, banks must guide customers with disabilities to the nearest supportive banking services (branches and/or ATMs). QCB also urged banks to train staff to recognize and respond to financial exploitation of the elderly and meet with elderly clients to confirm agreed arrangements and ensure they understand the agent's legal authority, in addition to encourage the elderly to seek independent legal and financial advice before granting power of attorney and informing the elderly clients of all actions the agent may take under the power of attorney. Banks are given a period of five months to comply with these requirements, QCB said.
ILoveQatar.net
15-07-2025
- Business
- ILoveQatar.net
Qatar Central Bank issues banking guidelines for elderly and people with disabilities
In line with the Third Financial Sector Strategy and the ESG and Sustainability Strategy for the Financial Sector on Enhancing Financial Inclusion, Qatar Central Bank (QCB) has issued instructions on financial services for customers with disabilities and the elderly. QCB indicated that the targeted groups include customers with disabilities who are able to make their own decisions, as well as the elderly. The circular outlines several required provisions, including facilitating access for customers from the targeted groups in all bank branches and ATM locations for banking services by providing ramps, electronic doors, tactile floor signs. QCB stressed giving priority to the targeted groups when conducting transactions in the bank, ensuring privacy for customers with disabilities, and training a portion of the customer service staff on the basics of sign language or providing a virtual interpreter, in addition to educating targeted customers about the risks associated with over-indebtedness, providing ATMs equipped with Braille and audio headsets at a rate of 15% of the total number of ATMs, and placing a clear signal on ATM machines indicating the type of disability supported by the machine. Additionally, banks must guide customers with disabilities to the nearest supportive banking services (branches and/or ATMs). QCB also urged banks to train staff to recognize and respond to financial exploitation of the elderly and meet with elderly clients to confirm agreed arrangements and ensure they understand the agent's legal authority, in addition to encourage the elderly to seek independent legal and financial advice before granting power of attorney and informing the elderly clients of all actions the agent may take under the power of attorney. Banks are given a period of five months to comply with these requirements, QCB said. Qatar Central Bank issues Financial Services for Customers with Disabilities and the Elderly. #Qatar_Central_Bank — مصرف قطر المركزي (@QCBQATAR) July 15, 2025
Qatar Tribune
14-07-2025
- Business
- Qatar Tribune
Qatar Central Bank grants sandbox entry approval to TrustIn Limited
Doha In line with the Third Financial Sector Strategy, the FinTech Strategy, and Qatar Central Bank's efforts to develop and regulate the FinTech ecosystem in the country, the Qatar Central Bank (QCB) has granted sandbox entry approval for Trustln, which offers a Digital Escrow Platform. This step highlights QCB's commitment to fostering the financial sector and advancing the objectives of the Third Financial Sector Strategy. It is important to note that entry into the regulatory sandbox does not equate to full-scale licensing approval; however, the applicant is considered an Authorised FinTech Sandbox Participant for regulatory activities by the FinTech entity.
