National Pulse, a Dubai-based company focused on tech-driven businesses, has invested in fast-growing Singapore fintech Aleta Planet to provide cross-border payment services for businesses in the Middle East.
The investment comes amid new initiatives by the United Arab Emirates (UAE) to promote open finance services and adoption of digital services.
The investment, led by His Excellency Mohammad Bin Markhan Al Ketbi, Founder and Group Chairman of National Pulse, will pave the way for the Singapore firm founded by former banker Ryan Gwee, to expand its footprint in the UAE, Middle East and Africa.
National Pulse invests in and partners companies that provide innovative technologies to support the digital transformation for a swathe of traditional businesses in financial services, education, healthcare, agriculture, commerce, etc. Through its NatOne Venture Accelerator Program, it helps young companies navigate new markets and seek high potential opportunities.
The investment in Aleta Planet comes at a time when the market for financial technology in the UAE is poised for growth and projected to expand at double-digit rates in the coming years. The UAE is ranked as the leading fintech hub in the Middle East and Africa regions, with funding jumping 92% to US$1.3 billion in 2023, in contrast to a global decline in funding for the sector, according to Kapronasia, a consulting firm on payments, banking and capital market industries in Asia.
In early July, the Central Bank of UAE unveiled its Open Finance Regulations to ensure the soundness and efficiency of open finance services. The new rules require banks to provide access to customer data, subject to their consent, so that licensed institutions including fintechs, can initiate digital transactions for customers.
H.E. Al Ketbi said: “The innovative and transformative technologies of Aleta Planet are reshaping how cross-border transactions are managed. Their expertise in handling multi-currency transactions will greatly enhance our upcoming digital solutions, set to revolutionise the international trade and digital economy landscape.”
Mr Gwee, Aleta Planet Founder and Group Chairman, said: “We are honoured and humbled that H.E. Al Ketbi, with his formidable investment background, is keen to invest in Aleta Planet in Dubai where we will deploy our cross-border, multi-currency payment technology to help global trading in the UAE and the Middle East.
“This investment by a savvy investor with deep experience and contacts in the Middle East, will super-charge our efforts to expand B2B payments in the region as well as the global markets of China, Africa and Europe.”
Mr Gwee added that Dubai will henceforth serve as the global headquarters for Aleta Planet while the Singapore office will support expansion in the Southeast Asia region.
He said plans are afoot to set up a joint-venture company with National Pulse to focus on B2B cross-border transactions, initially targeting the agri-trade and logistics sectors in the Middle East.
Currently, many small and medium-sized enterprises in Dubai are hampered in tapping growth opportunities as they are serviced mainly by smaller UAE banks that lack the technology and international networks to support them. With Aleta Planet’s proprietary solutions, they will be able to make cross-border payments securely and cost-effectively as well as trace the flows of perishable produce across the global supply chain.
Dubai is a major re-export market for China, UAE’s largest trading partner with bilateral trade at US$95 billion last year. The UAE is home to more than 6,000 Chinese businesses operating in key sectors such as trade, logistics services, transport, financial and insurance activities, real estate, energy, and renewable energy.
Aleta Planet is a Principal Member of UnionPay International and its technology connects businesses seamlessly through the Union Pay network, disrupting more expensive and slower conventional banking remittances. Its Global Tracer Solution facilitates global tracking of perishable products, increasing visibility and traceability to make the food trade more viable for financing.