Digital data integral to the future of FinTech: ArabNet

Digital data, automation, artificial intelligence and blockchain technologies will be the key drivers for financial technology (FinTech) in the future, panelists said at the ArabNet Digital Summit in Dubai on Tuesday.

Discussing the importance of digital data, Tariq Al Asiri, co-founder of Argaam said financial institutions, such as banks, might find themselves lagging behind in the future.

“A start-up or a company that is not a bank might have more information on customer than the bank (itself). And the banks will be buying that information from that company,” Asiri said.

Meanwhile, banking and payments consultant Faisal Khan said that while blockchain technologies are at an early stage, “it is fair to say it is the biggest thing because of the way value can be exchanged between parties, without an intermediary.”

Talking about the challenges that FinTech start-ups in the region face, Abdul Haseeb Basit, chief financial officer at Innovate Finance, said obtaining regulatory approvals remains a long process, along with other limitations such as access to talent and investments.

When asked whether new technologies can lead to job losses, Rasool Hujair, chief executive officer of Najm (the financial services arm of Majid Al Futtaim Group) said the impact in the short-term will not very big, “but in the long-term, definitely.”

The two-day ArabNet Digital Summit also saw the launch of Dubai Data Establishment report, which sheds light on the potential economic impact of open and shared data in Dubai.