Lean Technologies, a fintech infrastructure company based in Riyadh, recently raised $67.5 million in Series B funding, led by General Catalyst. This is General Catalyst’s first investment in a Saudi startup, bringing Lean’s total funding to over $100 million, with additional participation from Bain Capital Ventures, Duquesne Family Office, and Arbor Ventures.
Founded in 2019 by Hisham Al-Falih, Aditya Sarkar, and Ashu Gupta, Lean enables businesses in Saudi Arabia and the UAE to build financial products through its data and payment APIs. By offering efficient account-to-account (A2A) payment solutions, Lean has managed over $2 billion in payments for major clients like e&, DAMAC, and Careem.
In Saudi Arabia, Lean has taken advantage of the Central Bank’s regulatory sandbox, a setup allowing innovation under supervision. Here, Lean has verified nearly a million bank accounts for clients including Tawuniya, Abdul Latif Jameel Finance, Salla, Tabby, and Tamara. In addition, the Saudi Central Bank (SAMA) launched its second Open Banking Framework this September, focusing on Payment Initiation Services. This initiative will allow companies like Lean to facilitate direct payments from customer bank accounts, providing new alternatives to traditional card payments and enabling novel use cases across industries.
Lean’s CEO and Co-Founder Hisham Al-Falih describes the new funding as a significant moment, not only for Lean but for the broader fintech landscape in the Middle East. “We’re seeing fintech evolve from a niche sector into an essential part of the region’s economy,” he says. The funding will allow Lean to expand its offerings, particularly its Pay-by-Bank and Open Banking products, and strengthen partnerships within the region. Al-Falih is confident Lean can play a key role in building the infrastructure that will support seamless, secure financial adoption across industries.
Lean faces strong competition from Tarabut Gateway, another open banking leader in the region. Originally founded in Bahrain and now headquartered in Dubai, Tarabut Gateway has raised over $50 million, including a $32 million Series A round in 2022. Like Lean, Tarabut Gateway is working to establish a robust open banking framework for the Middle East, allowing businesses to offer efficient, secure digital financial services. Their progress reflects the region’s intense focus on open banking, as more companies work to create a thriving fintech ecosystem in MENA.
Neeraj Arora, Managing Director at General Catalyst, applauds Lean’s focus on local needs. “Lean’s team, led by Hisham, has shown exceptional commitment to meeting the unique needs of local merchants, building strong customer loyalty along the way,” he says. Arora sees Lean as a critical player in shaping the region’s fintech infrastructure for local businesses.
Open banking’s momentum in MENA is supported by regulatory frameworks like those from SAMA, as well as initiatives in the UAE and Bahrain. These frameworks encourage secure data sharing, giving consumers more control over their financial information while fostering competition and innovation in the financial sector. The shift towards open banking is expected to boost digital financial solutions across industries such as retail, healthcare, and e-commerce, where seamless payments and data-driven services are becoming essential.
As Lean and Tarabut Gateway continue to innovate and attract investment, they are likely to set the tone for open banking across the Middle East. With substantial backing from both local and international investors, these fintech companies are positioned to define the future of banking in the region, providing accessible, user-friendly financial options for both consumers and businesses.
