Skip to content Skip to Search
Skip navigation

Al Fardan Exchange chases fintech tie-ups

CEO Hasan Fardan Al Fardan said the company was about to conclude a deal with a 'buy now, pay later' fintech Al Fardan
CEO Hasan Fardan Al Fardan said the company was about to conclude a deal with a 'buy now, pay later' fintech
  • Digital transactions currently make up 15% of Al Fardan’s business
  • Fintech partnerships to develop ‘buy now, pay later’ and other features
  • Training institute to educate Emiratis in fighting financial crime

Al Fardan Exchange is ramping up its digital business to compete in the technology-driven financial services industry. 

The 50-year-old money transfer and currency exchange house plans to forge partnerships with fintech firms to double down on growth.

Digital transactions currently make up 15 percent of UAE-based Al Fardan’s business via an app that was launched in 2022 and operates remittance and currency exchange deals.

“We expect to evolve by entering into exciting relationships that will complement our traditional remittance offering,” chief executive Hasan Fardan Al Fardan told AGBI.

The company is about to conclude a deal with a “buy now, pay later” (BNPL) fintech that will enable customers to delay payments on remittance transactions for a set period, Al Fardan said.

Al Fardan Exchange is the national partner for Western Union’s digital app WU.com, a high-value digital currency exchange. It also has partnerships with digital banking startups Jingle Pay and Now Money, offering low-cost online remittances.

Total remittance flows across Mena grew 73 percent in the last quarter of 2022, according to research by Western Union.

But the Middle East and North Africa has seen an influx of fintech startups, boosted by increased venture capital funding and incubation support – according to Statista the number swelled from 30 in 2017 to 465 in 2022.

Al Fardan said there has been impact on the industry from the increasing presence of fintechs, but bricks-and-mortar business was still relevant.

“We haven’t seen any dip in volumes from our traditional channels,” he said, adding he anticipates company revenues, up 30 percent year-on-year in 2022, will continue to grow. 

Al Fardan Exchange has also set up Al Fardan Banking Training Institute, which aims to train 5,000 Emiratis over the next five years in fighting financial crime. Staff will undertake the training in the first year but the long-term plan is to employ dedicated staff. 

In February, the Financial Action Task Force global watchdog upheld its decision to keep the UAE on a so-called grey list, which means that some financial institutions must conduct higher levels of due diligence on transactions. 

“The nation is placing the fight against financial crime as a high priority and we want to play our part in supporting its objectives,” said Al Fardan.

 

Latest articles

Construction workers in Manama. 'There is plenty of office space in Bahrain and the occupancy rates even in the better buildings are not that high,' says one real estate expert

Extra supply casts big shadow over Bahrain’s real estate sector

The completion of a raft of developments in Bahrain has dampened hopes for strong growth in its real estate sector this year.  A flurry of activity at the end of 2023 led some analysts to predict stronger growth this year, after a period of low-single-digit increases or dips in prices, rents and deals. In 2023, […]

The UAE, which is keen to embrace new technologies, ranked second for employment and third for international trade World Competitiveness Ranking

Saudi Arabia and UAE up in World Competitiveness Ranking

Saudi Arabia and the UAE have improved their rankings in the annual IMD World Competitiveness Ranking this year, as both Gulf states embrace artificial intelligence (AI) to make their economies more productive. The list, which is compiled by the International Institute for Management Development (IMD) in Switzerland, saw the UAE rise three places to seventh, […]

A Brazilian delegation in front of an Embraer C-390 aircraft at the Singapore Airshow in February

Brazil’s Embraer woos Saudi Arabia for military plane deal

Saudi Arabia is in “early engagement” with Brazilian planemaker Embraer over a deal to replace its ageing fleet of military transport aircraft. Embraer is touting its C-390 Millennium transport plane as the ideal replacement for the kingdom’s Lockheed Martin C-130 Hercules aircraft. Embraer Defense & Security’s CEO João Bosco da Costa Junior told reporters: “They […]

Residents use kayaks to evacuate their flooded residential complex in Dubai following the April storm

Floods prompt Abu Dhabi to issue urban planning tender

Abu Dhabi’s Department of Municipalities and Transport has issued a tender for studies to aid the city’s urban planning efforts, including infrastructure resilience during storms. The tender for consultancy services opened last month and closes on July 4. It emerges after UAE president Sheikh Mohamed bin Zayed Al Nahyan ordered an urgent review of the […]