Tabby has secured Consumer Finance and SME Finance licenses in Saudi Arabia, expanding beyond BNPL into regulated consumer lending and business financing.
The regulatory approvals allow Tabby to offer longer-term consumer financing and working capital solutions for businesses, supporting Saudi Arabia’s efforts to expand access to regulated digital financial services under Vision 2030.
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With the new licenses, customers in Saudi Arabia can finance purchases exceeding SAR 2,000 (USD 532) through repayment plans of up to 12 months, with financing limits of up to SAR 50,000 (USD 13,300).
The service is already available through selected merchants, including Noon, Fitness Time, Almanea, IKEA, Almosafer, Almatar, and flynas, with a broader rollout planned in the coming weeks.
Unlike conventional lending products, Tabby’s financing is structured using a Shariah-compliant Murabaha model, providing customers with fixed financing costs agreed at the outset. The company said the product carries no compounding charges or late payment fees and will complement its existing four interest-free BNPL instalment plans.
“Tabby already gives millions of people flexibility and control over their money. Now we can extend that to the bigger purchases in life, paying for a course, furnishing a home, or booking a holiday,” said Hosam Arab, Chief Executive Officer and Co-Founder of Tabby.
“It answers a clear demand from our customers and puts the same control in their hands.”
The expanded offering enables Tabby to enter higher-value sectors where financing demand is typically stronger, including education, travel, home furnishings, used vehicles, and short-term accommodation.
In addition to consumer lending, the SME Finance license allows the company to provide working capital financing to merchants on its platform, helping businesses access funding to support expansion and day-to-day operations.
The approvals build on Tabby’s existing regulatory presence in Saudi Arabia. The company previously graduated from the Saudi Central Bank‘s (SAMA) regulatory sandbox before obtaining its BNPL license in 2025.
According to Tabby, the new licenses were granted after meeting SAMA’s requirements for regulatory compliance, customer protection, operational resilience, and security.
The expanded regulatory framework positions Tabby to compete more directly with traditional consumer finance providers while diversifying its revenue streams beyond instalment payments.
For merchants, particularly those selling higher-value products and services, the new financing options could increase customer purchasing power and improve sales conversion by making larger purchases more accessible.
The approvals also reflect the continued evolution of Saudi Arabia’s fintech sector, where regulators are expanding the range of licensed digital financial services to support financial inclusion and economic diversification.
With more than 25 million registered users and over 65,000 business partners across the GCC, Tabby now has the regulatory foundation to broaden its consumer and business financing offerings.
The company’s next phase of growth will likely depend on customer adoption of its longer-term financing products and its ability to expand regulated lending services into additional sectors and regional markets.
Why Tabby License Acquisition Matters to MENA
The approvals mark a significant milestone in the evolution of MENA’s fintech sector, demonstrating how leading BNPL providers are expanding into full-scale digital financial services.
As regulators across the Gulf introduce more comprehensive fintech frameworks, companies are increasingly moving beyond payments to offer regulated lending, consumer finance, and SME funding.
For Saudi Arabia, the move supports Vision 2030 by broadening access to digital financial products for both consumers and businesses.
It also strengthens the Kingdom’s position as one of the region’s fastest-growing fintech markets, where innovation is increasingly backed by robust regulation and growing demand for alternative financing solutions.
