AHMED ABDELAAL • MASHREQ
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Mashreq is now gearing up to support COP28 in Dubai in November 2023 and aims to increase the amount of sustainable finance that it facilitates to reach $30 billion by 2030. “We view our sustainability efforts as a way to give back to our community and to humanity as a whole,” says Abdelaal. Although the GCC economies are projected to grow at a slower pace of 2.5% in 2023 and 3.2% in 2024, compared to 7.3% in 2022, according to a recent World Bank Gulf Economic Update, Mashreq has a new “Rise Every Day” brand identity to leverage. Announced in September 2022, Mashreq is now shifting its approach to a collaborative, digital-first approach focused on building a banking-as-a-service (BaaS) ecosystem. “BaaS enables banks to offer a wide range of completely new financial products and services to their customers and end consumers; sometimes using alternative channels like Non-Banking Financial Institutions, who want to embed financial services within their customer and consumer journey’s,” says Arjun Vir
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Singh, Head of Financial Services for MENA at Arthur D. Little. The global BaaS market size was valued at $637.40 billion in 2022 and is projected to reach $6.9 trillion by 2030, adds Singh. In the U.A.E., Baas “is poised to experience significant growth due to banks’ appetite to explore innovative business models, leveraging their advanced digital capabilities as well as the emergence of tech companies, including Fintechs, and consumers’ advanced digital proficiency,” says Nader Haddad, Principal with Strategy& Middle East. “Our banking as a service innovation agenda is so crucial because it revolves around the shift from selling products and services to the creation of experiences,” says Abdelaal. “The challenges we face today are not just about responding to change, but more importantly, about managing changes in priorities. “Challenges are just temporary obstacles. With the right resources, the right team, and the right mindset, we can overcome any adversity we encounter.”
Most Valuable Banks 2023 These are MENA’s top five most valuable banks in 2023, according to Forbes Middle East’s ranking that was published in April. Name
Country
Market value
1
Al Rajhi Bank
Saudi Arabia
$75 billion
Established as an exchange house in 1957 and converted to a bank in 1988, Al Rajhi is the largest bank in the region in terms of market cap.
2
Saudi National Bank (SNB)
Saudi Arabia
$56.4 billion
SNB’s net profit hit $5 billion in 2022, an increase of 46.5% compared to 2021, with over 12.2 million customers across eight countries.
3
QNB Group
Qatar
$42.8 billion
In 2022, QNB’s assets hit $326.7 billion, with net profits of $4 billion, an increase of 9% compared to 2021. It employs 28,000 people serving over 27 million customers.
U.A.E.
$42.4 billion
In 2022, FAB had total assets worth $302.5 billion, and it facilitated over $7 billion in financing for sustainable projects across the energy, buildings, transportation, waste, water, and food sectors.
Kuwait
$37.5 billion
In 2022, KFH acquired Ahli United Bank Bahrain for $10.9 billion, bringing its total assets to $120.7 billion, up from $71.4 billion in 2021. It has operations in 10 countries with 631 branches.
4
5
First Abu Dhabi Bank (FAB)
Kuwait Finance House (KFH)
F O R B E S M I D D L E E A S T.C O M
JUNE 2023
