According to the publisher, the alternative lending market in the region is expected to grow by 44.0% on an annual basis to reach US$5.0 billion in 2023.
Medium to long term growth story of alternative lending in Middle East & Africa remains strong. Alternative lending adoption is expected to grow steadily over the forecast period, recording a CAGR of 24.8% during 2023-2027. The alternative lending market in the region will increase from US$3.5 billion in 2022 to reach US$12.2 billion by 2027.
The fintech market is growing at a rapid rate in the Middle East. Factors including favourable regulatory environment, rising internet penetration, and tech-savvy population are driving the adoption of digital lending platforms across the region. The trend is projected to further continue in 2023, as inflationary pressures result into more consumers and businesses seeking credit solutions.
To tap into the growing credit demand, firms are expected to forge strategic alliances to launch new and innovative alternative lending products in the Middle East market. Saudi Arabia and the Emirates are among the two Middle Eastern countries that are expected to lead industry growth going forward. Overall, the market is well-poised to record accelerated growth over the next five years.
Embark on a detailed exploration of the alternative lending market with our latest report, dissecting key economic indicators to provide a holistic view of this dynamic landscape. Delve into the alternative lending market's expansive horizons, from overall market size and forecasts to granular analyses of end-user segments, diverse finance models, and payment instrument intricacies.
This report helps in navigating the nuanced relationships between payment instruments and lending models, offering a detailed breakdown of transaction dynamics. Uncover the multifaceted nature of loans, from personalized B2C offerings like payroll advances to strategic B2B solutions like lines of credit. Complementing these insights, delve into consumer attitudes and behaviors, decoding the impact of age, income, and gender on financial choices.
This report provides a thorough knowledge of alternative lending market dynamics, market size and forecast with more than 75+ KPIs. KPIs in both value and volume terms help in getting an in-depth understanding of end market dynamics.
The research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view on emerging business and investment market opportunities.
Country reports in this bundled offering provide in-depth analysis of Alternative Lending industry. Below is a summary of key market segments offered at country level:
This report provides in-depth data-centric analysis of Alternative Lending industry in through 127 tables and 150 charts. Below is a summary of key market segments:
Medium to long term growth story of alternative lending in Middle East & Africa remains strong. Alternative lending adoption is expected to grow steadily over the forecast period, recording a CAGR of 24.8% during 2023-2027. The alternative lending market in the region will increase from US$3.5 billion in 2022 to reach US$12.2 billion by 2027.
The fintech market is growing at a rapid rate in the Middle East. Factors including favourable regulatory environment, rising internet penetration, and tech-savvy population are driving the adoption of digital lending platforms across the region. The trend is projected to further continue in 2023, as inflationary pressures result into more consumers and businesses seeking credit solutions.
To tap into the growing credit demand, firms are expected to forge strategic alliances to launch new and innovative alternative lending products in the Middle East market. Saudi Arabia and the Emirates are among the two Middle Eastern countries that are expected to lead industry growth going forward. Overall, the market is well-poised to record accelerated growth over the next five years.
Firms are forging strategic alliances to launch and widen the scope of digital lending services in Middle East
Strategic collaboration is one of the key strategies opted by players in the alternative lending industry to enter the growing market and to introduce new and innovative products in the sector. In the Middle East, similar trends are emerging as the market is poised to record accelerated growth.- In February 2023, Emkan Finance and IBM announced the launch of a new digital lending solution targeted towards small businesses in Saudi Arabia. Through the collaboration, IBM would enable Emkan Finance to provide financial support to SMEs decision-making engine to offer lending services to businesses.
- Mastercard, in collaboration with Egypt-based Egabi, is also seeking to expand access to digital lending services in the Middle East. The partnership, announced in May 2023, will see
Low credit penetration is driving the consumer demand for BNPL short-term loans in the region
A large chunk of the population in the Middle East region is still underserved by traditional financial institutions. With easier financing options, made available at zero interest, alternative lending solutions such as buy now pay later products have gained widespread traction among consumers. In the Middle East, only 8% of the population had access to credit, according to a report from PPRO, a fintech firm offering digital payments infrastructure to businesses. As inflation continues to impact the disposable income of such consumers, more are expected to turn to alternative lending providers to fund their daily expenses and purchases. Consequently, the low credit penetration will one of the biggest growth drivers for the alternative lending market over the next three to four years in the Middle East.Firms are raising funding rounds from venture capital and private equity players to drive growth
To meet the credit demand among consumers and drive accelerated growth, firms operating in the segment are turning to venture capital and private equity players to raise funding rounds in the Emirates.- In February 2023, Halo, the digital mortgage service provider in the UAE, announced that the firm had raised seven figures in its seed funding round, which was led by Watheeq Proptech Venture and Hambro Perks Oryx Fund. With real estate prices soaring at a rapid rate in the Middle East market, Halo is well-positioned to tap into the growing demand for home mortgages in the UAE.
- In Saudi Arabia, erad, the alternative lender in Saudi Arabia, announced that the firm had raised US$2.4 million in a pre-seed funding round. The firm is planning to use the capital infusion for enhancing its platform and bolstering its presence across the Middle East region. The Shariah-compliant platform offers businesses with alternative financing solutions and actionable insights to grow faster.
Embark on a detailed exploration of the alternative lending market with our latest report, dissecting key economic indicators to provide a holistic view of this dynamic landscape. Delve into the alternative lending market's expansive horizons, from overall market size and forecasts to granular analyses of end-user segments, diverse finance models, and payment instrument intricacies.
This report helps in navigating the nuanced relationships between payment instruments and lending models, offering a detailed breakdown of transaction dynamics. Uncover the multifaceted nature of loans, from personalized B2C offerings like payroll advances to strategic B2B solutions like lines of credit. Complementing these insights, delve into consumer attitudes and behaviors, decoding the impact of age, income, and gender on financial choices.
This report provides a thorough knowledge of alternative lending market dynamics, market size and forecast with more than 75+ KPIs. KPIs in both value and volume terms help in getting an in-depth understanding of end market dynamics.
The research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view on emerging business and investment market opportunities.
Scope
This title is a bundled offering, combining regional and country reports.Country reports in this bundled offering provide in-depth analysis of Alternative Lending industry. Below is a summary of key market segments offered at country level:
This report provides in-depth data-centric analysis of Alternative Lending industry in through 127 tables and 150 charts. Below is a summary of key market segments:
Economic Indicators
- Gross Domestic Product at Current Prices
- Population
- Unbanked Population
- Unemployment Rate
- Loan Default Rate
Alternative Lending Market Size and Forecast
- Transaction Value
- Average Transaction Value
- Transaction Volume
Alternative Lending Market Size and Forecast by End User
- End User - Business
- End User - Consumer
Alternative Lending Market Size and Forecast by Finance Models
- P2P Marketplace Consumer Lending
- P2P Marketplace Business Lending
- P2P Marketplace Property Lending
- Balance Sheet Consumer Lending
- Balance Sheet Business Lending
- Balance Sheet Property Lending
- Invoice Trading
- Debt Based Securities
- Equity Based Crowd Funding
- Real Estate Crowd funding
Alternative Lending Market Size and Forecast by Payment Instrument - Transaction Value, Volume and Average Value
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Model
Alternative Lending Market Size and Forecast by Payment Instrument to P2P Marketplace Consumer Lending
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to P2P Marketplace Business Lending
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to P2P Marketplace Property Lending
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Balance Sheet Consumer Lending
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Balance Sheet Business Lending
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Balance Sheet Property Lending
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Invoice Trading
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Debt Based Securities
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Equity Based Crowd Funding
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Payment Instrument to Real Estate Crowd funding
- Cash
- Cheques
- Credit Transfer
- Direct Debits
- Debit Card
- Credit Card
- E- Money
Alternative Lending Market Size and Forecast by Loan Types
- B2C Loans
- Personal Loan
- Payroll Advance
- Home Improvement
- Education/Student Loans
- Point of Sale
- Auto Loans
- Medical Loans
- B2B Loans
- Lines of Credit
- Merchant Cash Advance
- Invoice Factoring
- Revenue Financing
Alternative Lending Analysis by Consumer Attitude and Behaviour
- By Age
- By Income
- Gender
Reasons to buy
This report offers a comprehensive insight into the alternative lending market at the regional level, covering Middle East & Africa. It provides a detailed analysis of key areas that are critical for understanding and participating in the regional alternative lending landscape:- Comprehensive Regional Market Intelligence: Gain in-depth insights into the alternative lending market within Middle East & Africa region, including its size, growth potential, emerging trends, and key industry leaders. Investors and entrepreneurs can identify potential areas for market expansion by examining payment instruments, finance models, and loan types specific to the region.
- Regional Economic Indicators: Access essential economic indicators from multiple countries within the region, including GDP, unbanked population, unemployment rates, and loan default rates. This data empowers businesses with crucial information for Middle East & Africa market analysis and strategic planning.
- Industry Attractiveness Analysis: Dive into comprehensive trend analyses for transaction value, average transaction value, and transaction volume within the regional alternative lending sector. This information aids in assessing the industry's appeal and potential for growth within the specific Middle East & Africa.
- Strategic Segmentation Analysis at the Regional Level: Explore extensive market segmentation based on end-users (consumers, businesses, and property), financial models (P2P marketplace lending, balance sheet lending, invoice trading, debt-based securities, equity-based crowdfunding, real estate crowdfunding, and others), and payment methods (cash, cheques, credit transfers, direct debits, debit cards, credit cards, and e-money) specific to the region.
- Growth Projections: Benefit from future growth projections for the alternative lending market within the region, classified by end-users, financial models, and payment instruments. These projections offer insights into areas with growth potential within different market segments, helping businesses to align strategies and make informed decisions within the regional context.
- Loan Type Analysis: Gain a comprehensive understanding of loan types, including B2C Loans (Personal Loans, Payroll Advances, Home Improvement, Education/Student Loans, Point of Sale, Auto Loans, Medical Loans) and B2B Loans (Lines of Credit, Merchant Cash Advance, Invoice Factoring, Revenue Financing) within the specific geographic area, offering valuable market insights.
- Consumer Attitude and Behaviour Analysis: Explore consumer behaviour and attitudes, segmented by age, income, and gender, within the Middle East & Africa. This analysis aids in developing targeted marketing and lending strategies tailored to the local markets.
Table of Contents
This title is a bundled offering, combining the following 8 reports:
1. About this Report
2. Economic Indicators
3. Alternative Lending Industry Attractiveness
4. Alternative Lending Market Size and Forecast by End User
5. Alternative Lending Market Size and Forecast by Finance Models
6. Alternative Lending Market Size and Forecast by Payment Instrument
7. Alternative Lending Market Size and Forecast by Payment Instrument to Model
8. Alternative Lending Market Size and Forecast by Loan Types
9. Alternative Lending Analysis by Consumer Attitude and Behaviour
10. Further Reading
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 1312 |
| Published | October 2023 |
| Forecast Period | 2023 - 2027 |
| Estimated Market Value ( USD | $ 5 Billion |
| Forecasted Market Value ( USD | $ 12.2 Billion |
| Compound Annual Growth Rate | 24.8% |
| Regions Covered | Africa, Middle East |
