Dubai, UAE – September 3, 2024 – Ziina, the UAE’s leading financial platform for consumers and businesses, has successfully raised $22 million in a Series A funding round, marking a significant milestone in its mission to transform financial services in the region. The round was led by US-based Altos Ventures, with participation from top-tier investors including Fintech Collective, Avenir Growth, Activant Capital, Y Combinator, FJ Labs, MEVP, and Jabbar Internet Group.
The fresh capital will fuel Ziina’s evolution from a payment solution provider to an all-encompassing financial services platform for businesses and consumers. This funding round comes at a time when global fintech investment has dramatically slowed—from $144.2 billion in 2021 to $40.7 billion in 2023—highlighting the strong market confidence in Ziina’s business model and future prospects.
In the past year, Ziina has seen exponential growth, particularly among small and medium-sized enterprises (SMEs). The platform has experienced a tenfold increase in annual revenue and a 34% month-on-month rise in customer growth. This success is bolstered by Ziina’s recent acquisition of the Stored Value Facility (SVF) license from the Central Bank of the UAE, positioning the company as a trusted financial partner in the region.
“Ziina is positioned at the intersection of three key pillars: strong customer demand from the underserved SME sector, the SVF license from the Central Bank of the UAE, and substantial funding from top-tier investors,” said Faisal Toukan, CEO and Co-Founder of Ziina. “This intersection means Ziina is uniquely positioned to lead the next evolution of fintech in the UAE and beyond.”
Ziina serves a vital market segment, targeting the 560,000 SMEs in the UAE, which account for over 94% of the country’s companies and contribute around 60% of its GDP. With 77% of these SMEs now integrating digital payments, the demand for advanced financial management tools is rapidly increasing. Despite this progress, nearly 50% of SMEs in the Middle East continue to face significant challenges in accessing finance and managing cash flow, as per a recent PwC Middle East survey. Ziina aims to address these challenges by offering comprehensive payment and financial solutions, including a payment gateway for website checkouts and POS systems.
The $22 million Series A funding will accelerate Ziina’s technological advancements and product innovations. A key focus will be on enhancing outbound payment capabilities, starting with the upcoming launch of the ZiiCard. This innovative card will offer instant access to digital wallet balances and is expected to revolutionize how businesses and individuals manage and access their funds. For businesses, the ZiiCard will simplify supplier payments and improve expense management, while individual users will benefit from features like expense categorization and payment splitting.
Dillon Krasnigor, Partner at Altos Ventures, expressed confidence in Ziina’s trajectory, stating, “We’re excited to partner with the Ziina team for the next phase of their growth. Their ability to secure the SVF license, deliver consistent performance, and build an innovative product suite positions them to become a significant financial services provider in the Middle East.”
Ziina’s success is also attributed to its ability to attract top talent globally. The company’s workforce includes leading technologists from industry giants like Apple, Uber, Nubank, Klarna, Coinbase, Amazon, FundingCircle, and Yandex. With the recent funding, Ziina plans to further strengthen its team by bringing in additional hires from global fintech leaders like Revolut and Nubank, who have been instrumental in scaling these companies to valuations of $45 billion and $70 billion, respectively.
Looking ahead, Ziina plans to expand its reach across the Middle East, with future market entries planned for Saudi Arabia and Jordan. This strategic funding, coupled with a growing customer base and a relentless focus on innovation, positions Ziina as a key player in shaping the future of finance in the region.
