BaaS in Saudi: Money Moves Behind the Scenes
Here’s what I think.
Banking-as-a-Service (BaaS) is quietly reshaping money in Saudi Arabia. You don’t see a sign that says, “BaaS Saudi Vision 2030 happening here,” but it’s there, when you order dinner, top up your wallet, send money home, buy a car, or take a loan inside an app that’s BaaS.
So, let’s walk through what’s happening. I’ll keep it real, simple, and honest.
What is BaaS… really? Forget the jargon.
BaaS just means companies can offer banking features without becoming banks. Think about accounts, cards, lending, or payments available inside any platform you already use. Banks run plumbing. The app handles the experience.
So, when you move money in a ride-hailing app or buy something on installment at checkout, you’re basically using banking inside a non-bank app. That’s BaaS in action.
And Saudi is becoming a hotspot. Analysts estimate that BaaS could generate around $4B in annual revenue by 2030. BaaS Saudi Vision 2030 not a niche trend. That’s a serious momentum.
So, the question is…Why now?
A few practical reasons explain why BaaS is taking off in Saudi Vision 2030.
1) Vision 2030 The government wants a more innovative financial system—more products, more choice, more inclusion. BaaS plays directly into that. It helps banking show up where people already are.
2) Solid banking base Banks in the kingdom understands scale. They know consumer needs. They’re already working with fast-moving tech players.
3) SAMA has been busy:
- Open Banking framework
- Regulatory sandbox
- Digital banking licenses
4) Tech foundations are ready for Cloud infrastructure, artificial intelligence (AI) and more. Simply all the ingredients are coming together. So, in short, the timing is just right.
You’ve already used BaaS in Saudi
Even if you’ve never heard the term, you’ve seen it.
Three standout examples:
- Tamara → Built on partnerships; became Saudi’s first unicorn; serves millions.
- Geidea → Helps businesses offer payments and financial services.
- STC Pay → STC Bank → Started as a digital wallet; now a licensed bank.
These cases prove something important: People will bank with brands they trust… even if those brands aren’t banks.
From “BaaS 1.0” to “BaaS 2.0”
Early BaaS mostly connected APIs. Useful, but limited.
The next wave—BaaS 2.0—goes further; it bundles Tech, Data, Regulatory cover and End-to-end product design.
That means businesses can embed full financial journeys. Not just payments. But mortgages, credit, remittance, and more.
So instead of a platform saying, “Here’s a link to your bank,” the platform simply handles everything inside the app. That’s when BaaS feels invisible.
The strongest use cases for Saudi
At the first glance on the Saudi market highlighted multiple use cases rise with the highest payoff. They aren’t theoretical. They solve real problems. Such as Embedded mortgages, remittence and auto finance. But SME Lending stands as one of the most powerful use cases.
SME lending
Small businesses struggle to get loans because banks lack visibility.
But accounting systems already see the business: cash flow, revenue, invoices.
So why not lend based on real data? SME platforms can flag pre-approved loan options based on performance; owners can apply with one click which helps close the SAR 200B+ SME funding gap.
And because financial data is already in the system, loan management and monitoring have become easier. It saves time, Reduces paperwork, and makes lending smarter.
Think “start tiny, grow smart.”
A note on Islamic finance
Saudi’s financial system is deeply rooted in Sharia. So, BaaS must support:
- Asset-backed financing
- No interest
- Fair profit structures
- Ethical considerations
Good news:
Models like Murabaha, Ijara, Mudaraba already work inside BaaS. So embedded finance isn’t only for conventional customers, it can align with local values.
What’s next?
Here’s the direction BaaS is heading in Saudi:
- More banks plug in
- More platforms embed finance
- More cloud infrastructure arrives
- AI handles credit scoring + service
- Use cases spread into daily life
You’ll open your favorite app and see financial features show up naturally.
Ready to build that experience?
Request a demo to see how Fimple’s composable BaaS platform can make it a reality for your business.
