Baghoomian: Growth Debt Is Powering Saudi Arabia’s Next Fintech Wave

Oct 21, 2025

Kholoud Hussein

 

As Saudi Arabia’s fintech sector accelerates, the region’s funding scene is changing fast. Founders are increasingly turning to growth debt—minimally dilutive capital that fuels expansion while preserving ownership. 

In this interview, Armineh Baghoomian, Managing Director, Head of EMEA, and Co-Head of Global Fintech at Partners for Growth (PFG), shares her perspective on how growth debt is transforming the GCC’s startup landscape, why Saudi Arabia is emerging as a key market, and how smarter financing models are empowering founders to scale with confidence.

 

In today’s uncertain macroeconomic and political climate, why are we seeing more GCC founders and investors – particularly in capital-intensive sectors like fintech – turning to growth debt as an alternative to equity? How do you think this trend will reshape the region’s funding landscape?

Founders and investors in the GCC are taking a more strategic view of capital structure. While venture equity continues to mature, there’s growing recognition that growth debt plays a complementary role – especially in capital-intensive sectors like fintech, where businesses need to scale quickly and efficiently.

There is growing recognition that a diversified funding ecosystem – where equity and debt complement each other – creates economic resilience and safeguards the future of innovation, aligning neatly with national diversification agendas. Growth debt plays a critical role in this mix.

Across the region, founders and investors increasingly appreciate that debt, when paired with disciplined governance and strong unit economics, can accelerate a company’s growth journey. Growth debt can be used to finance working capital, customer acquisition, or infrastructure build-out with minimum equity dilution – with benefits for all parties in the deal.

Over time, the rise of growth debt will reshape the regional funding landscape by broadening the capital toolkit available to founders. We’ll see more blended capital stacks, more nuanced conversations around risk allocation, and a more mature ecosystem overall. In many ways, the GCC is well positioned to leapfrog traditional financing trajectories, moving quickly toward a model where equity and growth debt sit side-by-side to fuel innovation and growth.

 

Saudi Arabia is quickly positioning itself as a leading fintech hub in the Middle East. From your perspective, what opportunities and challenges stand out for credit partners like PFG in supporting transformative companies in the Kingdom?

Saudi Arabia’s fintech evolution is among the most dynamic globally. With the ambitious Vision 2030 strategy creating the regulatory framework for digital transformation, the Kingdom is laying the groundwork for a truly world-class fintech ecosystem. For credit partners, this moment presents compelling opportunities.

In Saudi Arabia, we’re seeing a powerful convergence between a young, digitally native population, a government that is not only supportive but actively accelerating financial innovation, and a resultant flow of capital into sectors that are capital-intensive and highly scalable. This combination creates fertile ground for transformative fintech businesses – whether operating in payments, digital lending, or infrastructure – that can grow rapidly and have meaningful regional impact. For PFG, the ability to deploy growth capital into these businesses means we can help founders scale confidently without compromising long-term ownership or vision.

Fintech is inherently a heavily regulated industry, and in a market that is evolving as quickly as Saudi Arabia’s, these frameworks are still maturing. That means lenders must be thoughtful in underwriting risk, ensuring that business models are both sustainable and aligned with long-term policy goals. Additionally, because many Saudi fintechs are scaling for the first time in a market of this magnitude, there is a heightened need for governance, financial discipline, and strategic capital structuring.

For PFG, the opportunity lies in being more than just a capital provider. Rather, we are a long-term partner to visionary founders – helping them balance growth with sustainability and navigate the complexities of a rapidly changing market.

 

Growth debt often sparks debate about risk, especially when applied to ambitious startups seeking rapid scale. How does PFG approach balancing its support for founders’ growth ambitions with the need to maintain financial resilience and risk management across your portfolio?

We see growth debt as a strategic partner to equity. Our role is to structure capital in a way that empowers founders to pursue growth without jeopardizing the resilience of their businesses.

We look closely at companies’ fundamentals – strong unit economics, predictable revenue models, and clear visibility on cash flows. We believe in the founders we invest in and work alongside them to structure flexibility into facilities. This is particularly important in the GCC, where markets are evolving rapidly.

Fundamentally, we think about portfolio resilience in terms of partnership. At PFG, growth debt is not transactional; it is relational. By aligning with management teams who share our commitment to discipline and transparency, we’re able to provide capital that supports expansion while safeguarding the interests of both our portfolio companies and our investors.

In the GCC, this balanced approach is especially powerful: it allows founders to scale with confidence – building businesses that are durable as well as ambitious. As the region’s funding landscape continues to mature, founders will increasingly appreciate that growth debt, when structured responsibly, can be a catalyst for sustainable growth.

 

Given that you co-lead PFG’s global fintech and asset-backed credit strategy across multiple regions, how does the Middle East compare to Europe and Africa in terms of fintech maturity and appetite for non-dilutive financing?

What stands out most is how quickly the region, especially the GCC, is maturing. The combination of ambitious government agendas, a young, tech-savvy population, and evolving regulatory frameworks is accelerating fintech adoption at a pace we don’t see elsewhere.

At the same time, founders and investors in the region are increasingly sophisticated in their approach to capital. There is a healthy appetite for non-dilutive financing to work alongside equity in powering innovative, tech-driven companies.

Founders are eager to embrace global best practices, but they are also charting their own course – building businesses with high growth potential and strong institutional support, making it easier to scale. For PFG, this all means the GCC represents both a fast-growing and increasingly sophisticated market.

We're at an inflection point: the GCC is rapidly moving toward the maturity of Europe, but with the entrepreneurial energy and growth trajectory that, in many ways, resembles Africa’s leapfrogging story. That combination makes it one of the most exciting geographies for us to support with flexible, non-dilutive capital.

 

Without revealing sensitive details, could you share an example or two where PFG’s structured credit solutions enabled a company to scale effectively while preserving equity? What lessons from those experiences might resonate most with GCC founders?

Perhaps the most well-known example is Tabby, the Middle East’s leading provider of Buy Now, Pay Later (BNPL) solutions. We were confident from the outset that Tabby would become the regional powerhouse it is today. They had the vision, they had the ambition – but to achieve scale, Tabby needed the right kind of capital. That’s where PFG came in.

Specifically, Tabby needed a bespoke financing structure that would allow the company to scale its business in a complex market. By leveraging Tabby’s high-quality receivables, PFG enabled the company to accelerate its merchant network expansion and introduce new product offerings.

The impact was clear. Tabby experienced 900% quarter-over-quarter growth in FY2022 and raised over US$70 million in funding, boosting its valuation by a meaningful multiple and cementing its status as one of the GCC’s most valuable startups.

For GCC founders, the most relevant lesson from our deals in the region is the value of balance: scaling aggressively while preserving control. Similarly, it reinforces the importance of matching the right kind of capital to the right stage of growth, rather than defaulting to equity. In a region where many businesses are founder-led and highly conscious of dilution, this approach resonates strongly. It’s all about building sustainably, retaining control, and maximizing long-term value creation.

 

Looking ahead, as Saudi Arabia and the wider GCC pursue diversification under Vision 2030 and other regional strategies, how do you see the role of non-dilutive financing evolving? And what role do you expect PFG to play in shaping that future?

As GCC economies continue to diversify, entire sectors – from fintech and healthtech to logistics and proptech – are scaling at a pace we haven’t seen before. With that scale comes the need for more sophisticated capital solutions. Private debt will play an increasingly central role, not as a substitute for equity but as a strategic complement to it.

What’s unique about the GCC is that this is all happening in real time. Governments are laying down the infrastructure, investors are increasingly sophisticated, and founders are embracing global best practices. Growth debt, as a form of non-dilutive financing, enhances this trajectory by offering flexibility, disciplined growth, and helping to create businesses built for the long-term, not just the next funding round.

PFG’s role is twofold. First, to bring our global experience – having supported high-growth companies across other global regions for over 20 years – and adapt that expertise to the GCC’s unique dynamics. Second, to act as true partners to founders: structuring credit that supports ambition while instilling the financial resilience that will define the region’s most successful companies.

We will continue to support ambitious founders and help to shape a more mature, balanced funding ecosystem that underpins Vision 2030 and wider regional economic diversification goals.

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Qarout: NTT DATA invests in local talent to expand presence in Saudi Arabia, Middle East

Noha Gad

 

As Saudi Arabia accelerates its digital transformation agenda, artificial intelligence (AI), cloud computing, cybersecurity, and intelligent infrastructure are becoming central to the Kingdom’s economic and technological development. Its ambition to become a global technology and AI hub is creating new opportunities for organizations that can help businesses and government entities move from experimentation to secure, scalable, and commercially valuable digital solutions.

NTT DATA is playing a pivotal role in this transformation, supporting public and private organizations across Saudi Arabia with digital infrastructure, cloud adoption, data and AI solutions, cybersecurity, and managed services. 

On the sidelines of LEAP 2026, Sharikat Mubasher held an interview with Ahmad Qarout, Technology Solutions Leader at NTT DATA Saudi Arabia, to learn more about the company’s business in the Kingdom, how its solutions support organizations’ digital transformation and cloud adoption, and its long-term strategy to expand in Saudi Arabia and the broader region.

 

First, could you walk us through NTT DATA's business in Saudi Arabia, and explain how your solutions contribute to accelerating digital transformation and advancing the technology industry in the Kingdom?

Saudi Arabia is one of NTT DATA's most strategic markets globally, and we are proud to support public and private sector organizations across their digital transformation journeys. We help clients modernize infrastructure, accelerate cloud adoption, strengthen cybersecurity, harness data and AI, improve customer experiences, and operate complex digital environments at scale. 

As the Kingdom moves from digital transformation ambition to large-scale execution, organizations are increasingly looking for partners that can not only design and deploy technology, but also operate, secure, and continuously optimize it. This is where NTT DATA differentiates itself. We combine global expertise with strong local engagement, helping organizations turn innovation into measurable business outcomes. 

Our work directly supports Vision 2030 by enabling organizations to leverage AI, cloud, data analytics, intelligent automation, and cybersecurity to improve productivity, accelerate innovation, and develop new capabilities. We are equally committed to knowledge transfer, skills development, and building a sustainable local digital ecosystem that supports the Kingdom's long-term growth ambitions. 

 

NTT DATA is participating in LEAP 2026 to showcase AI-powered intelligent infrastructure and cutting-edge solutions. How do these technologies work together to create a truly intelligent ecosystem within Saudi Arabia?

A truly intelligent ecosystem requires much more than AI applications alone. It depends on the integration of data, infrastructure, networking, cloud, security, governance, and operational expertise working seamlessly together. At LEAP 2026, NTT DATA showcased how these elements combine to create an environment where AI can move from experimentation to enterprise-wide value. 

Our approach brings together AI solutions, modern digital infrastructure, advanced networking, cybersecurity, and intelligent operations to help organizations automate workflows, improve decision-making, enhance customer experiences, and unlock greater value from enterprise data. This creates a secure foundation for scaling AI responsibly and effectively. 

A key example is the new NTT DATA AI Factory Lab in Riyadh, which will provide organizations with hands-on experiences and practical demonstrations of real-world AI use cases. The lab will feature technologies including the Cisco Secure AI Factory with NVIDIA, allowing organizations to explore how AI workloads can be built, deployed, governed, and scaled on an enterprise-grade foundation while maintaining visibility, security, compliance, and operational resilience. 

 

How do you assess the role of premier events such as LEAP 2026 in strengthening the Kingdom's position as a global AI and technology hub?

LEAP has become one of the world's most influential technology events and plays a critical role in advancing Saudi Arabia's position as a leading global AI and innovation hub. It provides a platform that brings together technology leaders, policymakers, investors, startups, hyperscalers, and enterprise customers to exchange ideas, showcase innovation, and accelerate partnerships. 

What makes LEAP particularly important in 2026 is that it reflects the evolution of the Saudi technology market. The conversation has shifted from digital ambition to practical execution, with organizations focused on scaling AI, building resilient infrastructure, and delivering measurable outcomes. Events such as LEAP help facilitate these conversations and drive collaboration across the ecosystem. 

For NTT DATA, LEAP is an opportunity to engage directly with customers and partners, demonstrate real-world innovation, and contribute to the development of a thriving technology ecosystem aligned with Saudi Arabia's Vision 2030 goals. 

 

Does NTT DATA plan to announce any strategic initiatives or partnerships during LEAP 2026?

NTT DATA continues to invest in strategic partnerships and ecosystem collaboration across Saudi Arabia and the wider region. The growing number of partnerships and MOUs reflects the direction of the Saudi market itself, where collaboration between global technology leaders, local organizations, and government stakeholders is becoming increasingly important. 

One of our key initiatives and announcements is the launch of the NTT DATA AI Factory Lab in Riyadh, which brings together NTT DATA's AI expertise with technologies from leading partners including Cisco and NVIDIA. The lab is designed to help organizations move from AI exploration to practical implementation through executive workshops, demonstrations, and real-world use case development. 

 

What is NTT DATA's long-term strategy for expanding its business within Saudi Arabia and the broader region?

Our long-term strategy is centered on supporting the next phase of growth in Saudi Arabia and the Middle East, where digital transformation is increasingly becoming an ongoing operational capability rather than a one-time project. We are investing in local presence, local talent, and in-country delivery capabilities to help customers manage increasingly complex and mission-critical technology environments. 

We see significant opportunities in AI, cloud, cybersecurity, intelligent infrastructure, data-driven transformation, and managed services. As organizations scale AI and modernize their operations, they require trusted partners that can help them operate securely, meet sovereignty requirements, and continuously optimize performance. 

The launch of the AI Factory Lab in Riyadh is one example of this commitment. More broadly, our goal is to help organizations across the region build resilient, secure, and future-ready digital foundations while supporting national priorities around innovation, skills development, and economic diversification. Ultimately, we want to help clients transform ambitious digital investments into sustainable business outcomes and long-term value creation. 

What Is a Cockroach Startup?

Ghada Ismail

 

Not every startup wants to become the next billion-dollar company. Some founders are less interested in chasing huge valuations and more interested in building a business that can survive when things get tough.

This is where the idea of a cockroach startup comes in.

The name may sound unusual, but the idea behind it is fairly simple. A cockroach startup is built to be resilient. It aims to keep operating through difficult markets, limited funding, changing customer needs, and unexpected setbacks.

In other words, it is a startup that focuses on staying alive and growing steadily rather than expanding as quickly as possible.

 

Where Does the Term Come From?

The comparison comes from the insect itself. Cockroaches have a reputation for surviving harsh conditions, which is exactly the quality the term is meant to describe in a business.

A cockroach startup is usually careful with its money, keeps its operations relatively lean, and looks for ways to generate revenue instead of depending entirely on investors.

That does not mean these companies never raise funding. They can still attract venture capital and other forms of investment. The difference is that funding is treated as a tool for growth rather than the only thing keeping the company going.

A cockroach startup also takes a more cautious approach. Instead of asking, “How quickly can we grow?” its founders may be asking, “How can we grow without running out of money?”

That difference from other startups can affect almost every part of the business, from hiring and marketing to product development and expansion plans.

For example, a startup following the cockroach model may avoid hiring a large team before there is enough revenue to support it. It may also focus more heavily on keeping existing customers rather than spending heavily to acquire new ones.

 

What Makes a Startup a Cockroach?

There is no fixed formula, but a few characteristics tend to stand out.

The first is financial discipline. Founders pay close attention to expenses, cash flow, and how long their available capital can support the business.

Another is an early focus on revenue. A company does not necessarily have to be profitable from the beginning, but having paying customers can give it more room to operate when fundraising becomes difficult.

Then there is adaptability. Startups rarely follow their original plans exactly. Customer demand can change, competitors can appear, or an economic downturn can force founders to rethink their strategy. A resilient startup needs to respond rather than simply stick to the original plan.

A smaller, more focused team can help with this as well. When there are fewer layers of management, decisions can often be made faster, and resources can be directed toward what matters most.

 

Why Does the Model Matter?

The cockroach approach has become particularly relevant during periods when startup funding becomes harder to secure.

When investors are willing to put large amounts of money into startups, companies can afford to prioritize growth over profitability for a while. But when funding slows, businesses that have been spending heavily without generating enough revenue can quickly find themselves under pressure.

A more resilient company has a better chance of weathering that period.

It may not grow as quickly as a heavily funded competitor, but it can have more control over its future. It may also avoid having to raise money simply because it needs enough cash to keep the lights on.

 

Is a Cockroach Startup Better?

Not necessarily.

Some businesses genuinely need significant amounts of capital to grow. A technology company developing complex infrastructure, for example, may need substantial investment before it can generate meaningful revenue. In other markets, moving slowly can allow competitors to get ahead.

So the cockroach model is not a rule that every founder should follow.

Its real value is the mindset behind it: build a company that can survive before assuming it will always have access to more money.

A startup does not need a billion-dollar valuation to be successful. Sometimes, success simply means building a useful product, earning loyal customers, keeping the business financially healthy, and being able to make it through the next difficult period.

That may not be as flashy as a unicorn story, but for many founders, it can be a much more realistic definition of success.

From peak to pause: How seasonal businesses thrive all year

Noha Gad

 

Businesses do not all operate the same way throughout the year. Some enjoy steady demand month after month, while others experience clear peaks and quieter periods driven by seasons, holidays, or industry cycles. Understanding these patterns is essential for owners, managers, and investors who want to plan wisely and avoid cash-flow surprises. From tourism resorts and landscaping companies to holiday retail and travel services, seasonal companies can be highly profitable when managed well; however, they also face distinct challenges in finance, staffing, and marketing. 

 

What are seasonal businesses?

Seasonal business refers to fluctuations in business that correspond to seasonal changes. This does not mean they operate only in one season for the most part, with a few exceptions. Key examples of seasonal businesses include alternative holiday retailers, moving services, tour guides, holiday clubs, and more. There are few steps founders and business owners must follow to start a seasonal business:

  • Understand the market. As an owner, you must be sure there is enough demand for the products or services that can generate enough income during the peak season. To gain knowledge, you can conduct simple market research, asking potential customers whether they would buy from you at the prices you are considering charging.
  • Develop a marketing plan. Seasonal businesses must often work harder to promote themselves, often to simply remind customers they are there. To hit the ground running, you should leave enough time for your publicity and advertising to attract customers. 
  • Manage cash flow. Successful cash flow management can represent a significant challenge for seasonal businesses because they receive most of their income in a set period, but may have outgoings at other times. The temptation can be to spend too much when cash is plentiful, creating cash flow issues when revenue is down.
  • Purchase essentials. You must accurately estimate demand by using your market knowledge/research. Getting favorable terms from suppliers can be more difficult when buying within a limited period, but there's no harm in trying by using your business relationship with them. 
  • Diversify products. If offering discounts and holding promotions doesn't help you to make sales when sales slow down, maybe you could modify your offer to give it wider and longer-lasting appeal. 
  • Improve offering and analyze results during quiet period. Use quiet periods to analyze your results and think of ways you can improve the business for when it becomes active again.  

 

Key challenges seasonal businesses face

Seasonal businesses share several recurring difficulties that stem from their uneven revenue patterns. These challenges affect cash flow, staffing, inventory, and overall planning.

  • Cash-flow volatility: revenue concentrates in a few busy months, while many costs, such as rent, loan payments, insurance, and subscriptions, continue year-round. This mismatch can create liquidity gaps during the off-season.
  • Staffing and training pressures: Owners must hire and train temporary staff quickly for peak periods, then manage layoffs or reduced hours when demand falls. High turnover and repeated onboarding can raise costs and affect service quality.
  • Inventory and capacity planning risks
    Over-ordering before a slow period ties up cash in unsold stock, while under-ordering before a peak can lead to missed sales and dissatisfied customers. Balancing inventory levels with uncertain demand is a constant challenge.
  • Marketing timing inefficiencies. Spending on advertising too late or too early reduces return on marketing investment. Seasonal businesses must align promotion with the demand curve to maximize impact.

 

To sum up, seasonal businesses can deliver strong profits, but only when owners plan for the full annual cycle, not just the busy months. Success depends on understanding demand patterns, preparing a focused marketing plan, and, above all, managing cash flow so that peak-season earnings cover off-season costs.

The main challenges, such as cash-flow volatility, staffing swings, inventory risks, and mistimed marketing, are predictable and manageable with the right discipline. Founders who research their market, negotiate smartly with suppliers, diversify offerings, and use quiet periods to analyze results and improve operations are better positioned to turn seasonality from a risk into a strategic advantage.

Limited Partners (LP) vs. General Partners (GP): What’s the Difference?

Ghada Ismail

 

When people talk about venture capital and private equity, two terms appear repeatedly: Limited Partners (LPs) and General Partners (GPs). While both are essential to an investment fund, they play very different roles.

In simple words, LPs provide the capital, while GPs manage and invest it. Understanding this relationship is key to understanding how venture capital and private equity funds work.

 

What is a Limited Partner?

A Limited Partner is an investor who commits money to an investment fund but generally does not participate in its day-to-day management.

LPs can include pension funds, sovereign wealth funds, family offices, insurance companies, endowments, banks, and high-net-worth individuals. In the venture capital ecosystem, they provide the majority of the capital that funds use to invest in startups.

LPs typically commit a specific amount to a fund, but they do not necessarily transfer the entire amount upfront. Instead, the GP can make capital calls when investments or other fund expenses require funding.

In return, LPs receive a share of the fund's returns. Their potential liability is generally limited to the amount they have committed to the fund, which explains the term "limited" partner.

 

What is a General Partner?

General Partners are responsible for running the investment fund.

The GP is typically the venture capital or private equity firm managing the fund. Its responsibilities include identifying investment opportunities, conducting due diligence, negotiating deals, supporting portfolio companies, and deciding when to exit investments.

GPs also manage the fund's relationship with LPs, provide performance updates, and oversee the fund's overall strategy.

Unlike LPs, GPs are actively involved in investment decisions and typically commit some of their own capital to the fund.

 

The basic financial structure behind LP and GP partnerships

LPs and GPs usually make money in two main ways: management fees and carried interest.

GPs typically charge a management fee to cover the costs of running the fund, such as salaries, office expenses, and other operating costs. They can also earn carried interest, or “carry,” which is a share of the profits made from the fund’s investments.

For example, if a venture capital fund invests in several startups and those investments become highly successful, the GP can receive a percentage of the profits once certain conditions are met.

LPs receive most of the profits generated by the fund after management fees and carried interest are deducted. In simple terms, LPs provide most of the capital, while GPs manage the fund and earn fees plus a share of the profits if the investments perform well.

 

LP vs. GP: The Key Difference

The easiest way to remember the distinction is:

LP = supplies capital
GP = manages capital

LPs typically do not choose individual startups or companies for investment. Instead, they select funds based on factors such as the GP's track record, investment strategy, team, geographic focus, and expected returns.

GPs then deploy the capital according to the fund's investment strategy.

 

Why the Relationship is Important

A strong LP-GP relationship can be critical to a fund's success.

LPs want GPs to generate attractive returns while managing risk responsibly. GPs, meanwhile, rely on LPs for the capital needed to execute their investment strategy and often seek to build long-term relationships that can support future funds.

For startups, this relationship may seem distant, but it can have a direct impact. A well-capitalized VC fund has the resources to back promising startups through multiple funding rounds and potentially provide additional support as they scale.

 

To Wrap Things Up…

LPs and GPs are two sides of the same investment structure. LPs provide the financial firepower, while GPs provide the investment expertise and management.

The model allows institutions, family offices, and other investors to gain exposure to private markets without managing individual investments themselves, while giving professional fund managers the capital needed to identify and build the next generation of companies.

For anyone looking to understand how venture capital works, knowing the difference between LPs and GPs is one of the best places to start.

CEO: Hamsa doubles down on voice AI in Saudi Arabia, eyes regional, global scale

Shaimaa Ibrahim

 

Arabic voice AI technologies are at the forefront of digital transformation in the GCC region, driven by growing demand for intelligent solutions that understand local dialects and interact with users spontaneously and instantly, as well as the increasing need for data sovereignty and compliance. Against this backdrop, Hamsa, a US-listed company headquartered in Amman, stands out as an AI company specializing in developing advanced models that understand Arabic language and dialects; an integrated voice AI system; and intelligent agents capable of interacting with users, implementing tasks, and integrating with enterprise systems.

In an exclusive interview with Sharikat Mubasher, Ibrahim Jabarin, CEO of Hamsa, discussed the company’s strategy, its vision for the future of voice AI in the region, its competitive position among international peers, and its expansion plans across Saudi Arabia, the UAE, and other Gulf and Arabian markets.

Jabarin highlighted major pitfalls in the sector and unveiled Hamsa’s roadmap that includes supporting more than 16 languages, developing a new generation of intelligent agents, and enhancing security and compliance, thereby strengthening its presence regionally and globally.

 

First, tell us more about Hamsa, what distinguishes it in the Arabic AI technologies market, and the key solutions and services that the company provides for enterprises?

Hamsa is a voice AI company that develops its proprietary models capable of understanding and processing the Arabic language. We developed our Arabic model from scratch rather than relying on models originally developed for English and subsequently adapted for Arabic. This approach positively impacted performance; the accuracy of Hamsa’s models reached about 94% in transcribing Saudi and Gulf dialects and about 92% in standard Arabic. 

The company is also developing an integrated ecosystem that features speech recognition, voice synthesis, noise cancellation, speaker recognition, and integration with enterprises’ communication systems and operational infrastructure. This provides a quick response of up to 280 milliseconds to the first audio byte, with intelligent agents’ response time ranging from 0.8 to 1.2 seconds.

For enterprises, Hamsa provides a wide spectrum of comprehensive solutions, including real-time voice processing for calls and web applications; a Low-Code platform dedicated to designing chat agents and executing operations; APIs that help developers build their own solutions; and the ‘Hamsa Media’ product that processes voice content at large scale, including transcription, voice-over, and dubbing.

All these solutions can be deployed within customer data centers or via a private cloud hosted within the country to meet enterprises’ need for data sovereignty and compliance. 

 

To what extent have the strategic partnerships forged by Hamsa contributed to expanding the company’s business, deepening its regional presence, and attracting new customers?

For Hamsa, partnerships are not merely an additional sales channel; they represent a fundamental pillar for entering markets and accelerating the adoption of voice AI solutions, particularly in regulated sectors, such as banking and government entities that choose trustworthy suppliers with established experience and relationships. 

We adopt four main partnership tracks: systems integration and consulting firms, infrastructure and hardware partners, customer experience platforms and contact centers, as well as telecommunications operators

These partnerships help accelerate sales cycles, strengthen Hamsa’s ability to implement projects and expand in the market without a significant increase in the teams, and unlock access to strategic enterprises and accounts that are otherwise difficult to reach directly.

The company also relies on integration with customers’ existing technical infrastructure through open protocols and standards that reduce transformation complexities and shorten implementation time. Therefore, Hamsa’s strategy for entering any new market begins with searching for the right partner before the first customer. This underscores our belief that a strong partnership is the cornerstone for building a sustainable presence and accelerating growth.

 

Hamsa recently concluded a strategic agreement with OmniOps. In your opinion, how will this partnership accelerate the adoption of voice AI technologies within government and private organizations?

The significance of this partnership lies in its ability to address the most prominent barriers to voice AI adoption in the Kingdom, which are no longer related to model quality, but rather revolve around three key questions: where is the data stored? Who operates the solutions within the Kingdom? And how are they integrated with existing systems? The partnership provides comprehensive answers to all these requirements by keeping sensitive voice data within the Kingdom, with an accredited local authority responsible for operations, integration, and support, in compliance with the Personal Data Protection Law (PDPL) and data localization requirements.

This ecosystem enables enterprises to transition from limited pilot phases to full-scale production deployment by providing models, infrastructure, integration, and support within an integrated framework and a single accountable entity, rather than dealing with multiple suppliers and technologies.

Based on Hasma’s experience, this approach could shorten project implementation timelines to between six and nine months, while delivering intelligent Arabic voice services all day long, with all data remaining within the Kingdom's borders.

 

Why does Saudi Arabia represent a priority in Hamsa’s expansion strategy, and where do you see growth opportunities you are targeting over the upcoming period?

Saudi Arabia is the top market for Hamsa for several reasons. First, language and dialects. The company’s technologies have been built from the ground up to understand Arabic and its dialects, particularly the Saudi dialect, rather than adapting a global product to meet local market needs.

Second, the market size. The Kingdom hosts the largest call center operations in the region, especially in the banking, telecommunications, and healthcare sectors, which handle millions of calls per month. This offers significant opportunities to automate repetitive tasks using intelligent voice agents.

Third, the regulatory and strategic environment. Vision 2030 and the National Data and AI Strategy have made AI adoption a national priority, accelerating transformation and uptake.

Fourth, data sovereignty requirements. Though these requirements represent a challenge for many solution providers worldwide, they represent a strength for Hamsa. We designed our solutions to operate within customers’ data centers or via a private cloud hosted within the Kingdom, in line with compliance and data localization mandates.

We see significant growth opportunities in the banking and financial sector, particularly in customer services, card management, collections, and identity verification; in telecommunications, government services, and healthcare, in areas such as patient follow-up and preliminary screening; as well as retail and e-commerce, in order management and delivery services.

 

Beyond Saudi Arabia, which other GCC markets does Hamsa target, and what are your expansion plans for the next few years?

The United Arab Emirates is the second most important strategic market for Hamsa, as it is one of the fastest countries globally in AI adoption, particularly within the government sector, along with its position as a regional innovation hub. Hamsa enables the deployment of its solutions within the country, in line with the regulatory requirements and data sovereignty mandates.

Qatar represents another significant market for the company, notably in the healthcare and government services sectors, while Bahrain and Oman are considered promising markets, where Hamsa relies on local partnerships to reach customers and implement projects efficiently.

Beyond the GCC, Hamsa aims to expand in Egypt, Jordan, and Morocco, given the substantial operational scales these markets offer in communications centers, government services, and the financial sector. The next phase will focus on expanding into global markets by strengthening the platform to support more than 16 languages, leveraging the company’s expertise in developing models that can understand Arabic dialects and switch between languages despite limited data availability.

In all markets it enters, Hamsa adopts a unified approach that depends on three main principles: a local partner with deep market knowledge and established relationships; hosting solutions within the country to ensure compliance with sovereignty and data protection requirements; and providing technical and operational support in accordance with local time.  

 

Amidst the growing competition with global companies, where does the competitive advantage of Hamsa’s Arabic voice AI solutions lie?

It is important to acknowledge that global companies have extensive expertise and substantial budgets to develop AI technologies; however, our competition is not built on scale, but on delivering value that resonates with the needs of the Arab market. We believe Hamsa excels in four key areas: 

  1. Building Arabic models from the ground up. Most global solutions rely on models originally developed in English, with Arabic support added as an afterthought. This limits their ability to understand local dialects and switch between Arabic and English. At Hamsa, we trained our models from the beginning on this linguistic reality.
  2. Owning the full technology stack. Hamsa develops core components of the technology stack through a single platform, from speech recognition and voice synthesis to telecommunications, which ultimately reduces complexity and costs. This enables us to optimize performance, adjust response time, and deliver a stable, reliable experience.
  3. Data sovereignty and compliance. Hamsa’s solutions are designed to operate within customers’ data centers or via a private cloud hosted within the Kingdom, fulfilling the requirements of banks and government entities. Our solutions comply with personal data protection laws in Saudi Arabia and the UAE.
  4. Deep market knowledge. Our teams across the region deeply understand enterprises' needs, procurement dynamics, and regulatory requirements. This enables us to develop solutions tailored to the local market, including models specifically designed for local dialects.

 

How do you see the future of AI Agents in the GCC region?

The voice AI market in the region is moving toward three major shifts, the first of which has already begun:

  1. From pilot phases to full-scale production: Organizations are moving beyond exploring potential and are now seeking scalable, production-ready solutions with high reliability, compliance, and auditability. 
  2. From providing answers to executing procedures: The current generation of intelligent assistants can complete transactions, such as checking balances, booking appointments, opening tickets, and implementing procedures through integration with enterprise systems.
  3. From voice-only to multi-interface experiences. The future points toward intelligent agents that combine voice conversation with visual interfaces, offering option display, sending confirmations, and visualizing order or transaction status. I expect government entities to lead this shift ahead of the private sector, given their focus on improving service quality and enhancing accessibility. The biggest challenge will not be developing the models themselves, but rather integrating them with legacy systems, ensuring compliance with regulatory frameworks, and measuring their business impact through clear, measurable metrics.

Based on your experience, what are the key challenges facing Arab AI companies today, and what does the sector need to accelerate its growth and enhance competitiveness regionally and internationally? 

Voice AI companies in the region face five main challenges. The first is the limited availability of high-quality voice data, especially for Arabic dialects, which forces companies to build their own database from scratch, ultimately slowing model development. Second, the high cost of graphics processing units (GPUs) and sovereign infrastructure, which imposes financial burdens on local companies.

Third, the scarcity of specialists in deep learning and speech processing technologies. This places regional companies in direct competition with global companies for top-tier talent. Securing finance is the fourth challenge, as model development companies require significant investment before generating revenue. 

Fifth, long procurement cycles and preference for global suppliers, along with the absence of unified Arab references to measure model performance, collectively hinder the expansion of local companies.

To accelerate the sector’s growth, the region needs to:

  1. Create common, open Arabic databases and references that support model development.
  2. Provide a sovereign computing infrastructure with competitive costs to promote local innovations.
  3. Expand the presence of specialized investment funds that understand the nature and cycle of developing AI models.
  4. Strengthen regulatory coordination among Gulf countries to reduce the variability of compliance requirements, enabling companies to expand regionally within a unified, more efficient framework.

 

What are Hamsa’s ambitions for the next few years, either on geographical expansion, launching new products, or establishing partnerships?

Hamsa’s roadmap for the upcoming years is centered on four key pillars. Geographically, we focus on strengthening our presence in Saudi Arabia and the UEA, then expanding into other GCC countries, notably Qatar, Kuwait, and Bahrain. Later, we will enter Morocco before expanding into Europe and the US through our multilingual platform.

At the product level, we are pursuing three strategic tracks: expanding the platform to support over 16 languages while preserving Arabic’s positional excellence; developing intelligent agents that integrate voice capabilities with visual interfaces; and advancing custom voice solutions, advanced analytics, and model fine-tuning tailored to the specific needs of various sectors.

On the compliance and security side, we aim to achieve ISO 27001 certification and transition to SOC 2 Type II compliance, while expanding the deployment of voice agents to web applications, smart kiosks, and other environments where voice-based interaction offers superior efficiency.

Hamsa will continue to forge comprehensive partnerships with infrastructure and digital sovereignty partners, system integrators, and customer experience platforms, thereby accelerating our expansion and ensuring implementation quality.

Our ambition for Hamsa is to become the premier choice for Arabic voice AI and subsequently strengthen its position globally through a multilingual platform.

 

Translation: Noha Gad