Dubai-based fintech giant Tabby has received both a Consumer Finance License and a Small and Medium Enterprises (SME) Financing License from the Saudi Central Bank (SAMA). The move signals a major expansion of its services in Saudi Arabia, allowing the company to offer longer-term installment plans and provide working capital to businesses.
Quick Facts
- Two new financing licenses secured from SAMA.
- Offers financing up to SAR 50,000 over 12 months.
- Introduces working capital solutions for SME merchants.
Expanding Consumer Credit for Bigger Purchases
With the new licenses, Tabby is moving beyond its well-known short-term, interest-free installment model. Eligible customers in the Kingdom can now finance purchases over SAR 2,000 with payment plans extending up to 12 months, for amounts as high as SAR 50,000. This new offering complements the company’s existing buy now, pay later service of three or four interest-free payments.
The longer-term plans are designed to support higher-value sectors like education, travel, used cars, and even short-term rentals. The service is being introduced with merchants such as Noon, Fitness Time, IKEA, Almosafer, and flynas. According to the company, the financing is fully Shariah-compliant and operates under a Murabaha structure, where the cost is agreed upon upfront with no compound interest or late fees.
Powering Merchants with Working Capital
The SME Financing License marks a significant step for Tabby on the business-to-business front. The company can now offer working capital financing directly to its partner merchants in Saudi Arabia. This new line of business is aimed at helping its SME partners manage day-to-day operations and fund their growth.
A Regulatory Milestone in a Key Market
Securing these permits from SAMA is a critical regulatory achievement. SAMA grants financing licenses only after a rigorous evaluation of a company’s compliance, security, and consumer protection frameworks. Tabby had previously completed SAMA’s regulatory sandbox program, obtaining its BNPL permit in 2025. This development aligns with the goals of Saudi Vision 2030 to increase access to fair and transparent financial services in the Kingdom.
“Tabby helps millions of users take control of their spending and make the most of their money,” said Hossam Arab, Co-Founder and CEO of Tabby. “We’re excited to extend that support to larger purchases that require more thoughtful financial planning, whether it’s funding education, furnishing a home, or planning a holiday. This expansion responds directly to customer demand, giving them the same tools to manage their spending with greater flexibility.”
About Tabby
Tabby is a financial services and shopping app active across the GCC. It serves more than 25 million registered users and partners with over 65,000 businesses and brands. The company’s expansion in Saudi Arabia, its largest market, strengthens its position as a leading fintech player in the region.
Source: Entarabi
