Fintech platforms add SAR 5B in AUMs: Official

Fintech platforms added SAR 5 billion to the assets under management (AUMs) in the capital market, marking an increase of 267% since the start of operations in 2022 until H1 2024, Al-Eqtisadiah newspaper reported, citing Abdullah Binghannam, Capital Market Authority (CMA) Deputy for Listed Companies & Investment Products.

The total funds raised from fund distribution amounted to around SAR 2.62 billion from 2022 until last June, while the total funds raised through equity crowdfunding reached SAR 371.1 million since 2019.

Binghannam pointed out that financing activity through fintech platforms saw significant growth, with the value of funds raised in the first half of 2024 surging 132% year-on-year. Meanwhile, investment orders through financing platforms exceeded 367,000 applications.

The CMA will continue to encourage the use of technology to improve financial products and services, he added, noting that 58 fintech experiment permits have been granted in the capital market. The fintech lab enabled seven business models in the financial market by mid-2024.