FinTech start-ups in the region is forecast to expand from 96 in 2019 to 465 by 2020
The UAE has topped the list of countries in the Middle East region with the highest number of financial technology (fintech) startups with the number presently standing at 67, according to a new report.
Turkey came second in the listy with 44 followed by Jordan and Lebanon at 30 each, stated Bloomberg Intelligence revealing its latest figures.
Overall, the number of fintech startups in the region is forecasted to expand from 96 in 2019 to 465 by 2020, with a separate report, an Accenture analysis based on CBI Insights data, predicting that investments in the fintech sector will jump to $2.28 billion by 2022 from $287 million in 2019.
These figures were made public ahead of this year’s AIM Startup taking place in Dubai from April 8 to 10 in conjunction with the Annual Investment Meeting (AIM).
This year’s theme of ‘Harnessing Global Digitization to Empower Startups and SMEs’ will highlight the shift in consumer expectations against the backdrop of global adoption of digital technologies.
Dawood Al Shezawi, the chairman of the Organizing Committee of AIM Startup, said the recent numbers supported other findings disclosing that not only startups have been flocking to the local and regional fintech sectors due to their promising growth prospects but that the UAE has remained a preferred destination for their operations as well regardless of their industries.
"We have looked into several factors for this trend and we can confidently say that the UAE’s high data connectivity makes it a fertile ground for startups and enterprises," he stated.
"In today’s era where you have tech-savvy customer base expecting exceptional service at all times, the issue of data connectivity will help make or break your business," observed Al Shezawi.
"The emirates has one of the superb infrastructural systems in this regard across the region and it is further raising its game to transform itself into a leading global business and connectivity centre by accelerating its national 5G connectivity program," he added.
The country ranked first in the Middle East and North Africa and 23rd globally in the Global Connectivity Index (GCI) 2018 released by Huawei.
The report described the UAE’s broadband market as “one of the most advanced both regionally and globally”.