Having partnered with an Islamic bank last year to support its digital transformation, Hexaware Technologies’s Mobiquity has now launched a digital Islamic banking minimum viable product (MVP), with a view of capturing a slice of the burgeoning multitrillion dollar Islamic finance market.
The prototype is a front-end solution centered around Murabahah-based car financing. The application is core banking platform agnostic and can be integrated and extended with any banking system.
The launch of the new product is driven by the increasing demand for ethical and Muslim-friendly financial services, particularly from the more digital-savvy Millennial generation, setting
Matthew Williamson, VP Global Financial Services, Mobiquity, said: “The future of Islamic finance is disrupting traditional models as more people, particularly the younger generation, seek banking solutions that meet religious needs and encourage an ecosystem of fair, ethical and moral responsibility,” commented Matthew Williamson, Mobiquity’s vice-president for global financial services. ““Millennials make up a large percentage of Islamic banking customers. The UK has experienced the highest growth in Islamic fintech companies demonstrating the need to optimize this sector to meet customer expectations.”
With operations in India, the Netherlands, Australia and the US, Mobiquity recognizes the Islamic banking opportunity in the Middle East, Asia, Africa and parts of Europe, with a sizeable Muslim population.
“From recent research it was found that a staggering 53% of respondents would use Islamic banking if the product offering is easy to use, with a further 32% citing they do not have access to Shariah compliant banks. The research also found that 24% of respondents want more from their banks, and 23% distrust banks fully complying with Islamic law,” the firm shared.
In May of last year, Mobiquity entered a collaboration with Kuwait International Bank (KIB) to aid the Islamic bank build a new digital-focused bank for its retail and corporate customers. Mobiquity was tasked with designing and developing digital products, including Shariah compliant online current and savings account, payment services as well as personal finance management offerings.