Middle East and Iraq Fintech Ecosystems in 2026: An Analysis

Lebanon’s fintech sector has been forged by financial collapse rather than conventional startup growth. Since banks froze deposits and the currency plunged after 2019, digital wallets, payment processors and remittance tools have expanded to restore basic transactional capacity. The World Bank said e-wallet services were authorized in 2021, yet access remains limited: its Global Findex 2025 showed only 23% of Lebanese adults held an account at a bank, financial institution or mobile-money provider in 2024, up from 21% in 2021.

Banque du Liban issued Basic Decision No. 13790 on Jan. 9, 2026, creating five classes of electronic payment providers and setting capital, annual-fee and operating requirements. The annual charge is 3 billion Lebanese pounds per category; most classes require 50 billion pounds of capital, compared with 25 billion pounds for Category E. In January, the World Bank also approved the $150 million Lebanon Digital Acceleration Project within a broader $350 million package to strengthen public services, digital platforms and data capabilities.

Kuwait is positioning financial-services digitisation as part of its broader economic development, with fintech spanning payments, digital banking, lending and regulatory technology. The country’s progress matters as Middle Eastern markets compete for investment, technical talent and financial-sector influence. Its regulatory direction, adoption rates and ability to turn digital initiatives into scalable businesses will help determine Kuwait’s standing in the region’s expanding fintech ecosystem.

The latest report, “The Fintech Landscape of the Middle East: Kuwait in 2026,” uses 2026 as its reference point to assess digital innovation and Kuwait’s growth potential over the coming years. The event materials provided do not identify the publishing institution, an exact release date, investment totals or a market-size estimate. As a result, capital inflows and industry growth cannot yet be quantified from the available information.

Linking the North African and Middle Eastern markets, Egypt’s fintech sector has grown from regulatory experiments and an emerging startup scene into one of Africa’s “Big Four” ecosystems. FinTech Egypt counts more than 177 fintech startups and payment service providers across more than 14 subsectors. Backed by Egypt Vision 2030 and the Central Bank of Egypt (CBE), the industry has become a key driver of financial inclusion and economic digitalization.

The Fintech Times published its review on March 28, 2026. Egypt has more than 116 million mobile subscriptions, 90 million internet users and over 54 million active users of digital financial services. The market is projected to grow from $765 million in 2024 to nearly $2.9 billion by 2033. The CBE issued licensing rules for payment providers in 2025, while Visa partnered with MNT-Halan in 2026 to expand card issuance and digital payments.