Ghada Ismail
Open banking is emerging as a key force in reshaping financial services across the Middle East, moving beyond regulation to become an enabler of innovation. At the forefront of this shift is Spare, a Saudi-headquartered fintech, offering account-to-account payments that are faster, more secure, and more cost-efficient than traditional card networks.
With a mission to democratize access to financial infrastructure, Spare is building seamless rails for enterprises, SMEs, and fintechs, unlocking new use cases powered by instant settlements and real-time data. By working closely with regulators and businesses, the company is helping to address adoption challenges while setting the foundation for open banking to transform industries across the region.
In this interview, we explore how Spare is driving this change, what sets its model apart, and where open banking in the Middle East is headed next.
Can you walk us through Spare’s mission and how you’re redefining open banking payments in the GCC and MENA?
Spare’s mission is to democratise access to financial infrastructure to enable growth for innovative companies that want to build world-class products for their customers using a secure, seamless, and transparent connectivity that is compliant with regulatory guidelines. We’re redefining Open Banking by making payments more accessible for businesses of all sizes, giving them access to rails that are cheaper, more secure, and above all, faster. Open Banking payments will be a game changer, as they allow businesses to access liquidity far quicker than traditional legacy systems, enabling them to grow and operate more efficiently.
How does Spare differentiate itself from traditional payment gateways, and what value does your open banking model bring to fintech and enterprise customers?
At Spare, we connect directly to banks. When it comes to payments, we move money directly from account to account, avoiding intermediaries such as card networks, which means faster settlement and lower fees. For fintechs and enterprises, we unlock real-time payments, better margins, and new customer experiences with use cases such as easy-to-set-up recurring payments and refunds. This marks a significant improvement for many businesses, particularly SMEs. Lower transaction fees combined with instant settlement not only reduce costs but also enhance financial transparency and cash flow visibility.
How does Spare ensure regulatory compliance and data security in different markets, including Saudi Arabia?
At Spare, we work closely with regulators in each market and follow local licensing frameworks. On security, all customer data is encrypted, and we meet banking-grade standards for authentication and access. In Saudi Arabia, we comply with SAMA regulations, and all our data centers are based in the kingdom. In addition, in the UAE, we received an In Principle Approval, allowing us to conduct Open Finance activities under CBUAE’s regulated framework.
Which fields—like SME payments, lending platforms, or BNPL—are responding most to your open banking tools in the region?
We see strong pull from SMEs who need cheaper, faster collections, and from BNPL and lending players who rely on instant account verification and payouts. There is also significant interest from lenders and microfinance companies in the rich banking data and credit risk assessment tools we provide.
What have been some of the biggest friction points businesses face when adopting open banking payments, and how does Spare help overcome them?
Many businesses are concerned about customer adoption and the complexity of bank integrations. We solve this with a simple API and a user flow that feels as easy as card checkout. We also support our partners with creating simple bank integration journeys and with educational material and content that they can equip their teams to educate customers and build trust. Moreover, we believe the first wave of Open Banking payments adoption will come from the B2B space. Open banking offers powerful capabilities that directly address B2B needs, such as invoice payments, bulk disbursements, and recurring transactions. As with any new payment scheme introduced to consumers, widespread adoption will take time, but the foundation being built today will unlock significant efficiencies for businesses tomorrow.
What’s your roadmap for geographic expansion?
We’re focused on deepening our footprint in the region first - we’re headquartered in KSA, licensed in Bahrain, and recently received our IPA in the UAE. We’re also working on Kuwait and Oman, as they have recently released their open banking frameworks.
As open banking matures in the Middle East, what additional services or products is Spare exploring next?
Open banking in the region is still at its starting stages, so there’s much more to come. We’re looking at value-added services on top of payments: smarter payouts, recurring billing, data-driven credit, and insights that help with underwriting and personalized offers. Open finance is also on the horizon, and that’s an exciting next step.
What do you believe is the biggest misconception about open banking in the MENA region, and how is Spare helping shift that perception?
A big misconception is that open banking is only for banks and fintechs. In reality, it can transform many industries. E-commerce, healthcare, and real estate can all benefit from instant access to financial data and customer insights. At Spare, we show businesses that open banking is a foundation for innovation across the economy, not just financial services.