Alromaih Investments led the Series A funding round that Tameed Digital Lending Platform, which provides SMEs in Saudi Arabia with government purchase order financing that complies with shariah, announced it had closed.
Tameed plans to utilise the proceeds from the Series A funding round to accelerate its growth and meet the increasing demand for its innovative digital lending products stemming from the overall growth in Saudi Arabia’s economy, which is supported by the continued accomplishments of various Vision 2030 programmes and giga-projects.
Tameed, which was able to offer SMEs funding exceeding SAR 400 million, serve investors and borrowers through a mobile app that had 50K downloads, and achieve a growth rate exceeding 400%, received its operating license from the Saudi Central Bank (SAMA) in January 2023. Before that, the company was operating within SAMA’s FinTech SandBox. By offering transparent pricing and quick loan processing (within three business days), Tameed was able to win over its clients’ trust. This was made possible by a fully digitalized process that allowed for efficient processing and customization of its services, which resulted in specially designed products meant to assist SMEs in fulfilling their purchase order obligations.
“The coming years are promising for the growth of the Kingdom’s economy, and we in Tameed are keen on meeting the needs of SMEs by offering innovative funding products,” said Mr. Mohammed Alomayyer, the CEO and co-founder of Tameed. “We have recently added performance bond financing for projects to serve a wider range of SMEs and help them participate effectively in these major projects.”
Mr. Omar Alromaih, the CEO of Investments at Alromaih Group, commented that “the results of the funding round reflect our belief in this opportunity and the sector, and we look forward to seeing Tameed continue its growth and expand its investment and funding opportunities to meet the needs of SMEs for financing and meet the demand for funding gaps created by Vision 2030 programmes and projects, which is estimated to be SAR 300 billion by 2030.”
Through acquisitions, transactions, and investment rounds into the FinTech Division—which is widely regarded as one of the most promising and targeted sectors in the Kingdom’s Vision 2030—Alromaih Group aims to diversify and provide a range of investment tools and risk mitigation.
“Funding SMEs working on national and giga-projects offers an area of growth and innovation,” said Mr. Mohammed Al Alshaikh, the co-founder of Tameed. He added that “this funding round will enable us to grow Tameed to serve investors and SMEs requiring funding while innovating on the best technologies and products.”
