Yabi has announced that it has closed its USD 8 million seed round. The startup shared that the round focuses on product development and pushes growth into regional markets, with Al Wafra Al Thanya (Wafra II) joining its list of existing investors.
Yabi by Souqalmal was launched in Saudi Arabia this November as a localised personal finance wellbeing platform in both English and Arabic in the Kingdom, offering two new courses every month, all delivered by Saudi market experts. It is now fully live in two markets, UAE and KSA.
“Yabi’s commitment to the KSA market goes beyond the tailored content, as the startup has a presence on the ground, allocating dedicated resources to lead the market penetration,” it said.
The objective, it shared, is to increase financial literacy through B2B relationships by encouraging companies to make financial literacy part of their employee well-being program.
“Yabi and Saudi Vision 2030 share a common goal: to increase financial literacy and saving levels across the Kingdom,” said Ambareen Musa, Chief Executive Officer of Yabi, adding: “Financial literacy and the involvement of individuals in the economy are top priorities for the public and private sectors. ~30% of Saudis are considered financially literate today (report by SAMA) and the savings ratio was 1.6%1 of annual disposable income (2018). Those are evidence of some of the gaps we want to fill.”
“Additionally, the Saudi Vision 2030 has within its targets to reach 70% of household ownership and to increase the national saving levels closer to the global average of 10%. Moreover, the Saudi government is working towards achieving its National Savings and Financial Literacy Strategy, which aims to help individuals make better financial decisions and increase the access and use of personal financial tools. This is a crucial moment for Yabi and the Kingdom to work towards the financial well-being of their citizens and residents,” added Ambareen Musa, Chief Executive Officer of Yabi.
“Spreading financial literacy and financial awareness is key to allowing individuals to live their lives happily and to their fullest potential. While technology has improved our lives in many aspects, it also brought a negative impact on financial behaviours. Yabi is at the forefront of using tech to empower individuals by spreading essential financial knowledge. Wafra II believes that any future for fintech must include efforts to spread financial awareness. Therefore, its investment in Yabi to bring its platform to the Saudi market aligns with its core purpose to play a role in raising the level of financial education, build up investments and savings and therefore contribute to Saudi Arabia’s digital GDP,” commented Salah Khashoggi, Managing Director of Al Wafra Al Thanya.