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Saudi fintech Tameed secures $15 million Series A funding

Posted:Jan 16, 2024 16:47 Category: Asia , Fintech , Startup , Posted by Lea Hogg

Tameed, a leading digital lending platform specializing in Shariah-compliant financing for small and medium enterprises (SMEs), has successfully concluded a series A funding round. This pivotal move, securing an impressive SR56.75 million ($15 million), underscores the dynamic evolution of Saudi Arabia’s fintech sector.

The funding, spearheaded by Riyadh-based Alromaih Group, will catapult Tameed’s expansion to meet the surging demand for its innovative Shariah-compliant digital lending solutions

Vision 2030 Programs

The robust expansion of Saudi Arabia’s economy, propelled by various Vision 2030 initiatives and monumental giga-projects, has precipitated an escalating demand for financial services. Tameed’s strategic position as a provider of Shariah-compliant financing solutions for SMEs aligns seamlessly with the Kingdom’s vision for economic diversification and growth. This funding injection comes at a crucial juncture, enabling Tameed to scale its operations and fortify its position in the rapidly evolving financial landscape.

Positioning, licensing and market penetration

Having obtained regulatory approval from the Saudi Central Bank in January 2023, Tameed has navigated its developmental journey within the regulatory fintech sandbox. The company’s commitment to compliance with Islamic finance principles has garnered trust, reflected in its impressive track record of disbursing over SR400 million in funding to SMEs. Bolstered by a user-friendly mobile app boasting 50,000 downloads and a staggering growth rate exceeding 400 percent, Tameed is well-positioned to capitalize on the growing demand for digital lending solutions.

Performance bond financing for national projects

Tameed’s commitment to innovation is exemplified by the recent introduction of performance bond financing for projects, expanding its support to SMEs involved in major national endeavours.

Mohammed Al-Omayyer, CEO and co-founder of Tameed, (in photo above on right), expressed confidence in the Kingdom’s economic trajectory, emphasizing the company’s dedication to meeting SMEs’ evolving needs through cutting-edge funding products.

Bridging the Funding Gap

Omar Al-Romaih, CEO of investments at Alromaih Group, (in photo above on left), underscored the success of the funding round as a testament to their belief in Tameed’s potential and the broader fintech sector. He articulated the group’s anticipation of witnessing Tameed’s continued growth and its expansion of investment and funding opportunities. Al-Romaih highlighted the crucial objective of addressing the funding gap created by Vision 2030 programs and projects, estimated to reach SR300 billion by 2030, emphasizing the pivotal role Tameed plays in achieving this ambitious goal.

As Tameed enters a new phase of growth, the infusion of capital positions it as a formidable player in Saudi Arabia’s fintech landscape, contributing to the realization of Vision 2030’s economic aspirations.

 

Related topics:

Islamic banking launches Shariah compliant digital coin (aibc.world)

AIBC Insight – A cryptocurrency that is Shariah-compliant

Saudi Arabia exceeds fintech targets (aibc.world)

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