UAE fintech market to reach $3.56 billion in 2025: Forbes report
A Forbes report has forecast that the financial technology (fintech) market in the UAE is expected to reach US$3.56 billion in 2025, and US$6.43 billion by 2030, with a compound annual growth rate (CAGR) of 12.56 percent, positioning the country among the fastest-growing global markets, WAM reports.
The report, titled “What Can FinTech Learn From The UAE's Rise As The Next Hotspot?", outlined the UAE’s competitive advantages, including its low business startup costs compared to European markets and the availability of free zones such as Dubai International Financial Centre and Abu Dhabi Global Market, which help ensure the sustainable delivery of financial services at minimal cost.
It also highlighted the UAE’s emergence as a global fintech hub and the success of its financial policies and initiatives in attracting foreign direct investment into the sector. The report affirmed that the UAE holds a strategic edge in fintech, where transformative innovations such as generative artificial intelligence and blockchain are revolutionising the market, while startups continue to gain financial prominence.
According to the report, fintech companies in the UAE are capitalising on a supportive regulatory environment shaped by the UAE Government. It cited comments from Arif Amiri, Chief Executive Officer of Dubai International Financial Centre, who said that the country’s comprehensive and dynamic ecosystem, independent regulatory framework, efficient judicial system and international stock exchange enable startups to be better positioned to promote their solutions and expansion plans to investors.
The report further noted that the UAE’s robust investment and funding ecosystem offers significant opportunities for startups. In 2024, the UAE led the region by raising US$1.1 billion across 207 startups, followed by Saudi Arabia with US$700 million across 186 deals.
It added that startups in the UAE can leverage the strong funding environment to secure investment and innovate rapidly, contributing substantially to the growth of the country’s fintech sector.
The report concluded that the most valuable lesson fintech professionals can take from the UAE’s experience lies in key practices such as adhering to sound regulatory frameworks and local compliance, which are essential to ensuring safer financial operations.
Earlier it was reported that the UAE Aid Agency had inked an agreement to construct Sheikh Zayed Mosque and a cultural centre in Chad.
