stc pay obtains SAMA approval for transition to STC Bank

The Kingdom’s leading mobile wallet, stc pay, has received approval from the Saudi Central Bank to proceed with its transformation into STC Bank.

This beta launch will enable selected users to upgrade their accounts from an stc pay digital wallet into an STC Bank account. They will also be provided an International Bank Account Number and additional banking services, according to a statement.

With the upgrade, the subsidiary of stc Group will provide Shariah-compliant banking services and financial solutions while ensuring the utmost security and customer protection through cutting-edge financial technologies.

This move aligns with the Kingdom’s broader fintech strategy and the goal of establishing the country as a global hub for financial technology and innovation.

The digital wallet’s transition into STC Bank will be a significant addition to the Saudi banking sector.

The statement said that this beta launch is limited to preselected customers and is a preparation for a full public launch later this year.

According to official data released earlier this month, the share of retail consumer electronic payments in Saudi Arabia surged to 70 percent of total transactions in 2023, up from 62 percent in the previous year.

According to a statement released by the central bank, also known as SAMA, this increase is attributed to the substantial growth of transactions processed through national payment systems in 2023, totaling 10.8 billion deals compared to 8.7 billion in the previous year.

This aligns with the objectives of the Financial Sector Development Program, as retail consumer e-payments serve as a significant key performance indicator within the plan.

The program, one of the main initiatives of the Saudi Vision 2030, aims to create a diversified and efficient financial services sector to support the development of the national economy.