../BACK_TO_CURRICULUM
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MODULE_01
Introduction to Fintech and Banking System
SESSION_OBJECTIVES
- Understanding what Fintech is and its scope
- Learning the evolution from traditional to digital finance
- Understanding traditional banking system and its challenges
- Exploring the Saudi Fintech ecosystem
Learning Path
01 //
What is Fintech?
Definition and Scope
- Fintech definition
- Main sectors: Payments, Lending, Wealth Management, Digital Banking, Insurtech, Investment Tech, Blockchain
Historical Evolution
- Fintech 1.0 (1866-1967): Traditional infrastructure
- Fintech 2.0 (1967-2008): Digitization - ATM, Online Banking
- Fintech 3.0 (2008-Now): Digital revolution - Smartphones, APIs, Digital Banks
- Evolution in Saudi Arabia (2017-2026)
Market Size and Growth
- Global Fintech market: $312 billion
- Saudi market: 82+ licensed companies
- Digital transactions: 1.2 trillion SAR
- Digital wallet users: 15+ million
02 //
Traditional Banking System in Saudi Arabia
Saudi Banking Structure
- Saudi Central Bank (SAMA)
- Capital Market Authority (CMA)
- Banks: 24 banks (13 local + 11 foreign)
- Payment systems: MADA, SADAD, SARIE
Technical Infrastructure of Traditional Banks
- Core Banking Systems (Temenos, Oracle, SAP)
- Siloed subsystems
- Problems: Legacy systems, integration difficulty, slow, high cost
Traditional Model Challenges
- Branch operation cost: 2-4 million SAR/year
- Account opening: 1-3 days
- New product launch: 12-24 months
- Practical example: Getting a loan (2-4 weeks vs 10-15 minutes)
03 //
Saudi Fintech Ecosystem
Vision 2030 and Digital Transformation
- Raise non-cash transactions to 70%
- Increase financial sector contribution to 12%
- Raise financial inclusion to 80%
- Initiatives: Fintech Saudi, SAMA Fintech Lab, Accelerator Program
Saudi Companies Map
- Payments: STC Pay, Hala, urpay, Paylink
- BNPL: Tamara, Tabby, Spotii
- Lending: Lendo, Mada, Qoyod
- Insurtech: Tameeni, Salama, Najm
- Wealthtech: Wahed, Derayah, Scopeer
- Infrastructure: Lean Technologies, Geidea, Rewaa
Current vs Future Model
- From controlling bank to open ecosystem
- From product-focus to customer-focus
- From complex transactions to seamless experience
- From fixed hours to 24/7 availability
04 //
Future of Saudi Financial Sector
Main Trends
- Open Banking
- Embedded Finance
- Super Apps
- AI-Powered Finance
REFERENCES
- SAMA Fintech Report 2023
- Vision 2030 - Financial Sector
- The Saudi Fintech Ecosystem - Fintech Saudi