FAB signs agreement to accelerate digital payment services in Saudi Arabia

FAB, along with Magnati, which specialises in digital payment solutions, have joined forces in a strategic alliance with Geidea, Saudi Arabia’s largest fintech company, to provide digital payment acceptance services for businesses in the kingdom.

The agreement will help bridge the gap between advanced financial solutions and accessibility while ensuring affordability.

FAB expands reach with digital payments alliance

FAB is the UAE’s largest bank and one of the world’s largest and safest financial institutions. It also operates as a licenced full-service bank in the Saudi market since 2019.

Magnati, with a focus on innovation and technology, offers Payment as a Platform service that caters to a wide range of industries and businesses. It encompasses integrated payment solutions, secure transaction processing, and comprehensive e-commerce solutions.

Sanjay Sethi, Head of Global Transaction Banking at FAB, commented: “This strategic alliance enables us to extend our reach, drive innovation, and provide tailored payment solutions aligned with the evolving needs of businesses across industries. We are dedicated to delivering exceptional value to businesses and merchants and contributing to Saudi Vision 2030’s aspiration to achieve 70 percent digital payments by 2025.”

Ramana Kumar, CEO of Magnati, added: “Our collaboration with Geidea is a testament to our commitment to serving our clients’ expansion goals in Saudi Arabia. Together, we aim to revolutionise the payment landscape by introducing innovative solutions, seamless integrations, and unparalleled customer experiences. Leveraging Geidea’s innovation and Magnati’s fintech expertise, we are poised to unlock the full potential of digital payments.”

Abdullah Alshowier, Chief Business Officer at Geidea, said: “Geidea is elated to partake in this strategic alliance with First Abu Dhabi Bank and Magnati to support clients in Saudi Arabia. This collaboration will empower merchants with Geidea’s state-of-the-art payment solutions, seamlessly accepting a wide spectrum of digital payments through a unified platform.

“We are enthusiastic about collaborating with FAB and Magnati to drive innovation, amplify services, and extend our collective presence in the GCC region.”

The Saudi Central Bank, in 2021, confirmed that electronic payments have overtaken cash as the most prevalent payment method in the kingdom.

Geidea has achieved the distinction of becoming the first non-bank entity in the kingdom to obtain an acquiring licence from the Saudi Central Bank (SAMA), directly providing financial services to merchants and small and medium enterprises.