Saudi fintech firm Raya adopts Temenos to expand lending services
Raya Financing has chosen Temenos Core to power its expansion in Saudi Arabia’s fast-growing non-bank lending sector. The deal comes as the Saudi Central Bank (SAMA) accelerates licensing for new finance companies, with demand for alternative credit options rising among consumers and small businesses.
SAMA has issued licenses to 77 finance companies by the end of 2025, up from 62 in late 2024. Credit extended by these firms now totals SAR113 billion (US$30.1 billion), growing at a 13% annual rate since 2020. The sector’s expansion aligns with Vision 2030’s Financial Sector Development Program, which aims to increase SME access to credit to 20% of total bank lending by 2030.
Raya’s selection of Temenos Core reflects broader shifts in Saudi finance. The platform will support retail finance, leasing, auto loans, personal lending, SME financing, buy now pay later (BNPL), and home finance—all from a single system. The software runs in a private cloud within Saudi Arabia, ensuring data stays local while enabling the company to scale operations.
Islamic finance compliance was a key factor in Raya’s decision. Temenos Core includes built-in Shariah-compliant functionality, allowing Raya to offer products aligned with Saudi Arabia’s financial regulations. The system also simplifies operations by consolidating product management, reducing the need for custom development.
Raya’s assets grew 56% to SAR3.09 billion (US$824 million) in 2025, showing its rapid expansion. The company’s Chief Information Officer, Mohammed Makkawi, said the platform would help streamline operations and accelerate new offerings. “Temenos Core gives us the flexibility to manage a broader range of financing products,” he noted, adding that it would keep Raya competitive as customer needs evolve.
Temenos Core operates on Microsoft Azure, which hosts the Temenos Banking Cloud. The two companies expanded their collaboration in 2021 to meet demand for SaaS-based banking solutions, alongside joint efforts to reduce carbon footprints. Accenture, a global partner, has worked with Temenos on core banking implementations across Europe, Latin America, and the Middle East.
Saudi Arabia’s finance sector has seen similar technology-driven growth before. In 2015, Accenture deployed Temenos for Nordea across four Nordic countries, demonstrating how core banking systems can unify fragmented operations. Raya’s move follows a pattern: as non-bank lenders multiply, they adopt scalable platforms to handle diverse product lines efficiently. The shift from siloed systems to integrated solutions has become standard for firms targeting both retail and SME markets.
