Seeing immense potential in the Muslim financial market, Mambu has rolled out a Shariah compliant version of its flagship software-as-a-service (SaaS) cloud-native banking platform.
This supports the firm’s engagement with Islamic financial institutions. It already is working with Shariah trade finance fintech Ta3meed to serve SMEs, Sedania As Salam Capital for composable Islamic banking services as well as Bank Islam Malaysia to establish a digital-only Islamic bank.
“Worldwide, over 1.8 billion Muslims are financially underserved and are looking for alternative Shariah compliant solutions to manage their money. The limited size of the market for Shariah compliant financial products has made it difficult for banks to meet the demands of a new generation of tech-savvy customers. Islamic financial institutions worldwide are looking for ways to transform and employ cloud-native solutions and API-driven architectures to create an open banking ecosystem,” Mambu noted.
Earlier in March, IFN Fintech reported that Bank Islam was laying the foundations to set up a virtual bank, potentially the first digital Islamic bank in Malaysia as the central bank prepares to welcome new digital entrants leveraging its digital bank framework. The bank’s new digital solution is expected to be launched next quarter.
“Asia Pacific plays a significant role in the Islamic finance space, and with the launch of our new Shariah compliant SaaS banking platform, Mambu Asia Pacific is primed to assist Islamic banks and financial institutions to proactively leverage the power of cloud technology, helping to create leaner, more agile operations that have the ability to serve more people,” Myles Bertrand, Mambu’s managing director of APAC, said. “We believe that technological innovation in this sector will strengthen not only individual financial services providers, but the entire Islamic finance industry as a whole, and we are honored to be a part of the change.” The launch follows a 100% year-on-year growth in 2020 and the recent EUR110 million (US$131.04 million) funding round.