22 September, 2021
Dubai is well-known as a major investment hub where entrepreneurs can research and test the market in a variety of sectors, particularly those involving innovation and technology. Fintech is the most widely used and discussed term in today’s business sector. Let’s start with a definition of Fintech.
Fintech (short for financial technology) is a type of technology and innovation that attempts to compete with traditional financial techniques in the financial services industry. It is a new industry that employs technology to enhance financial activities/operations. Mobile banking, investment services, and cryptocurrencies are all examples of technology aimed at making financial services more accessible to the general population.
Without a question, the UAE is the most advanced in its FinTech journey and the most internationally competitive country in the Middle East and North Africa.
“By providing FinTechs in the UAE with a comprehensive, dynamic ecosystem that includes an independent regulatory framework, an English Common Law judicial system, and global financial exchange, start-ups will be better positioned to pitch investors on their innovative solutions and expansion ambitions.” – Arif Amiri, Dubai International Financial Centre’s top executive
The UAE is now the world’s 25th most competitive country, which is 2 places better from the previous year. Significant advances in ICT usage and skills – probably the most crucial drivers of FinTech development possibilities – helped it gain traction. These pillars, according to the WEF, “supplement the UAE’s long-standing competitive advantages, notably a stable macroeconomic climate, a solid product market, and well-developed infrastructure.”
National Vision for 2021 calls for the UAE to aspire to become one of the world’s greatest economies by being the commercial and economic capital of 2 billion people by transitioning towards the more educated and tech-based system. In order to realize this goal, the UAE has nominated numerous Ministers of Artificial Intelligence and Advanced Services.
Several digital organisations have been developed around the emirate, including Smart Dubai, Dubai Future Foundation, Abu Dhabi Digital Authority, and already-launched initiatives such as Area 2071 and Hub71, to help entrepreneurs in various technology-related sectors.
Since 2017, the Milken Institute Center For Financial Markets has been working harder/hard to ensure that governments in the Middle East and North Africa to put in place the regulatory frameworks that support financial technology, and the United Arab Emirates has been at the forefront of these efforts, completely reshaping its financial industry to reflect. A building that is more technical.
The company has established itself as the largest center for financial technology in the MENA region during the last five years, particularly in terms of start-ups. According to research, the UAE is home to the bulk of the MENA region’s fintech start-ups, accounting for 47 percent of all financial tech deals and 69 percent of total financing. Not only the nations across the world, such as the United Arab Emirates, changing their finances, but the world at large and the financial markets regard it as a tool that will drastically alter capital markets and finances. Forex brokers and trading applications are becoming more technologically advanced in their operations. Furthermore, trading systems like cTrader include sophisticated automatic AI support capabilities that aid traders in managing and performing transactions.
The Dubai International Financial Centre (DIFC), one of the city’s most significant and established free zones, is a good place to start a fintech company. The procedure begins with the issuance of an “innovation testing license” (ITL) by the Dubai Financial Services Authority. There is no minimum share capital requirement, making it easier for a businessman to start a fintech firm in Dubai. A fintech firm can supply a variety of goods to financial institutions interested in expanding their technological capabilities in order to deliver high-quality, quick, and dependable services to their customers.
Electronic bill payments, online payments, internet banking, both within and outside the country, are among the key services that a financial firm must give to its consumers.
The Dubai government has always supported financial growth in whatever manner it can and has always given assistance to all entrepreneurs who want to start a business in this sector. Many programs have been created to assist fintech businesses in growing quickly and consistently. FinTech Hive, UAE Innovation Strategy, Dubai Blockchain Strategy, and Dubai Future Accelerators are just a few of the significant initiatives that assist fintech businesses in Dubai advance in the financial industry.
Here are some data that show how the FINTECH industry has changed through time.
In matters like business setup, people tend to get confused and get in chaos due to several rules and requirements. This is the time when people tend to look for an expert. A lot of chaos can be avoided if guidance is taken from the very beginning. Every venture may have unique requirements like location, customer convenience, logistical feasibility, and banking services.
We at Radiant Biz strive to understand these unique precepts and provide expert and reliable consultation to our clients with updated laws and governing regulations, awareness of their rights, and cost-effective business solutions tailor-made to their business needs and budget.