Saudi Arabia’s Financial Revolution: A Vision for Innovation and Inclusion
By Shayne Heffernan
Investors should be watching Saudi Arabia as the Kingdom emerges as a global financial powerhouse, propelled by Vision 2030’s transformative agenda. As of May 2025, three recent developments underscore this momentum: the launch of a new digital payments platform, the Saudi Central Bank’s (SAMA) issuance of licences to two fintech companies focused on digital lending and microfinance, and SAMA’s approval of two robo-advisory firms to advance wealth management. Together, these initiatives highlight Saudi Arabia’s commitment to financial inclusion, technological innovation, and economic diversification, presenting unparalleled opportunities for investors eager to engage with the region’s dynamic future.
The digital payments platform, launched by a consortium of local financial institutions, is revolutionizing how Saudis manage their finances. Built on blockchain technology, it delivers seamless, secure, and instant transactions for both retail and institutional users, covering everything from daily payments to cross-border transfers with minimal fees. With digital payments now accounting for 62% of transactions in Saudi Arabia—up from 50% just three years ago, according to Trading Economics—this platform capitalizes on a growing trend. The Kingdom’s internet penetration rate, at an impressive 98%, and a mobile subscription rate exceeding 120%, provide a robust foundation for this digital leap. This aligns perfectly with Vision 2030’s goal of creating a cashless society, making financial services accessible to everyone, from urban professionals in Riyadh to rural communities across the provinces.
SAMA’s issuance of licences to two fintech companies, as reported by Arab News, marks a pivotal step in addressing the needs of the underbanked—those often excluded from formal financial systems. These companies specialize in digital lending and microfinance, aiming to provide affordable credit to small businesses and individuals. This initiative directly supports Vision 2030’s target of increasing SME contribution to GDP from 20% to 35% by 2030. With the non-oil sector contributing 51% to GDP in 2024 and unemployment at a low 3.5%, the Kingdom is creating an environment where financial inclusion can flourish. These fintechs leverage AI and data analytics to assess creditworthiness for those without traditional banking histories, empowering ordinary Saudis to build better lives while fueling economic growth. Foreign direct investment (FDI), which reached $26 billion in 2024, up 12% from the previous year, reflects global confidence in Saudi Arabia’s financial reforms.
Further amplifying this wave of innovation, SAMA has granted licences to two robo-advisory firms, enhancing wealth management services in the Kingdom. These firms offer AI-driven investment advice, enabling clients to manage their portfolios through algorithmic trading and personalized strategies. This move democratizes access to wealth management, particularly for retail investors, by providing low-cost, technology-driven solutions. With Saudi Arabia’s banking assets now at SR3.5 trillion ($933 billion USD), growing at 8% annually, and a young population—over 60% under 30—these robo-advisors are well-positioned to meet the rising demand for digital investment tools. This initiative supports Vision 2030’s aim of enhancing financial literacy and inclusion, ensuring more Saudis can participate in the Kingdom’s economic growth.
These developments share a common thread: a focus on technology and accessibility. The digital payments platform uses blockchain to ensure transparency and security, mitigating fraud risks—a key concern in any digital economy. The fintech companies in lending and microfinance harness AI to reach underserved communities, while the robo-advisory firms make wealth management more inclusive through algorithmic precision. Saudi Arabia’s improved Ease of Doing Business ranking—jumping to 38th globally in 2025 from 62nd in 2020—further enhances its appeal to investors. Stable economic indicators, such as an inflation rate of 2.3% and GDP growth of 2.7%, provide a solid foundation for these innovations to thrive.
At Knightsbridge, we’re thrilled to be part of Saudi Arabia’s financial revolution through our partnerships in the region. Our expertise in blockchain technology, including the Knightsbridge Chain and Digital Wallet, aligns with the Kingdom’s push toward a digital economy. We’re working with local partners in Riyadh to build a new economic layer of services, develop blockchain skills for business and government, and position Riyadh as a leading wealth management centre. The future of Saudi Arabia and the broader Gulf region looks incredibly bright, and we’re excited to contribute to this dynamic landscape in the years ahead.
