Gulf Fintech Tabby Hits $4.5B Valuation: Fintech on Fire in MENA

Tabby’s Meteoric Rise Shakes Up MENA Fintech

Tabby, the Gulf’s top “Buy Now, Pay Later” (BNPL) fintech, has reached a new milestone in October 2025—a staggering $4.5 billion valuation after a secondary share sale. Headquartered in Riyadh and founded in 2019, Tabby’s growth has been nothing short of explosive, firmly establishing itself as a dominant force in the Middle East and North Africa’s (MENA) rapidly evolving fintech sector.bloomberg+2​

What Drove Tabby’s Valuation Explosion?

• Secondary Share Sale Success: Allowing early investors to cash out, Tabby’s recent secondary sale drew global institutional players like HSG and Boyu Capital—pointing to robust international faith in the Gulf fintech landscape.gurufocus​

• Impressive Metrics: With over 15 million users, 40,000+ merchant partners, and $10+ billion in annualized sales, Tabby outpaces most regional competitors and matches global contenders in vision and scale.fintechnews+2​

• IPO Readiness: Industry insiders suggest Tabby’s new $4.5B price tag isn’t just for show—it’s a strategic move ahead of a potential IPO, with financial heavyweights HSBC, JP Morgan, and Morgan Stanley on board as advisors.ainvest​

Why Fintech Is Booming in the Gulf

BNPL and payment solutions are the “hottest space” in the region, driven by young, tech-savvy consumers craving flexibility, transparency, and digital-first solutions. The MENA BNPL market alone is projected to grow 19.4% in 2025, with Tabby leading the surge.ainvest​

Key Growth Catalysts Behind Tabby’s Success

• Millennial and Gen Z Demand: Expatriates in the UAE and Saudi youth are fueling demand for interest-free installment payments, especially for fashion and electronics. Tabby’s approach fits perfectly with these preferences.ainvest​

• Regulatory Support: Saudi and UAE regulators have introduced minimum capital requirements ($1.3 million and stricter consumer limits) that favor established, well-capitalized players like Tabby.ainvest​

• Product Diversification: Tabby has grown from BNPL into a comprehensive fintech ecosystem, launching Tabby Card, digital spending accounts, and even acquiring digital wallet Tweeq to expand its offerings.uaestartupstory+1​

• Strategic Partnerships: With 40,000+ global merchants and a rapidly growing array of retail partners, Tabby’s influence spans e-commerce, in-store retail, and mobile payment solutions.uaestartupstory​

The IPO Curve: Gulf Unicorns Make Global Moves

Tabby’s $4.5B valuation is a clear sign that it is gearing up for a high-profile IPO between late 2025 and 2026. Rather than waiting on sluggish global public markets, Tabby raised capital and offered early investors liquidity through private deals—a growing fintech trend.techscoop+1​

What Sets Tabby Apart in MENA Fintech?

• Scale and Reach: Tabby’s user base shot from 0.4 million in 2020 to 15 million in 2025, and annual transaction volume soared to over $10 billion in five years.uaestartupstory​

• Ethical Finance and Shariah Compliance: Tabby’s solutions are tailored for the region, offering Shariah-compliant, interest-free payment options and emphasizing fair credit.

• Sustained Investor Interest: Even as global IPO activity slows, Tabby’s successive funding rounds and secondary sales highlight global conviction in MENA’s digital transformation story.gurufocus​

The Wider Fintech Ecosystem in MENA

2025 sees MENA fintechs breaking records—over $372 million in sector funding in Q1, and Tabby landing the region’s largest deal with its $160 million Series E in February. Saudi Arabia and UAE lead the charge, jointly accounting for nearly 90% of regional funding and deal value.forbesmiddleeast+1​

Competitive Landscape and Future Outlook

Tabby’s rise cements MENA as a world-class fintech hub, inspiring competitors like Fawry (Egypt) and Rasan (Saudi Arabia) to follow suit and expand digital solutions. With a projected $11.7 billion BNPL market by 2030, the race for fintech dominance in the region is just heating up.ainvest​

Conclusion: The Gulf’s Fintech Moment Is Now

Tabby’s leap to a $4.5 billion valuation is a testament to visionary regional entrepreneurship, regulatory evolution, and the Gulf’s unique demographic tailwinds. As the company eyes an IPO and the market for “Buy Now, Pay Later” and digital payments keeps surging, there’s little doubt: MENA fintech—led by Tabby—is officially on fire.