Capifly, a Jordan-based company that provides growing tech companies with quick and non-dilutive, Shariah compliant capital, is establishing its operations in Saudi Arabia as part of a wider plan to serve the MENA region. NESSREEN TAMANO has the story.
Dunya Bashiti, the co-founder and CEO of Capifly, told IFN that the move to Saudi Arabia is a natural progression, given its positioning as the innovation and tech hub of MENA.
“The demand is high, the available capital is ample. Last year, venture capital investments (in Saudi Arabia) grew by around 72%, reaching around US$1 billion in funding that was done through 144 deals.”
Capifly has already obtained a license from the Ministry of Investment Saudi Arabia and is currently registering a subsidiary to run its business. Dunya also confirmed that the company is already screening two Saudi tech start-ups that have applied for growth financing from Capifly.
So far in Jordan, and since its inception almost a year ago, the company has completed six Murabahah-based transactions totaling just close to US$500,000, and zero default rates.
“To ensure we are Shariah compliant, we work closely with a Shariah lawyer who drafts our legal contracts in line with AAOIFI standards, and we are currently seeking a Fatwa for our product from the Shariyah Review Bureau,” Dunya shared.
Last month, Capifly announced its collaboration with CrossBoundary and USAID Business Growth Activity, which is funded by the United States Agency for International Development (USAID), to reach more tech start-ups in MENA that need Shariah compliant financing support.
This is an excerpt of an interview with Dunya Bashiti, the co-founder and CEO of Capifly. Listen to the full conversation on IFN Podcast.
