UAE-based investment firm Shorooq and Qatari fintech pioneer PayLater have announced a significant partnership at Web Summit Qatar. The two entities signed a Memorandum of Understanding to explore the creation of a scalable, institutional-grade credit facility. This strategic move is designed to provide PayLater, Qatar's first licensed Sharia-compliant Buy Now Pay Later provider, with the necessary capital to fuel its next phase of expansion.
A Strategic Alliance for Fintech Growth
The agreement focuses on structuring a non-dilutive credit solution, allowing PayLater to access substantial funding without diluting founder equity. This approach is crucial for high-growth technology companies seeking to scale operations while maintaining control over their strategic direction. The collaboration underscores a maturing market where bespoke financial instruments are becoming essential for sustainable fintech development in the region.
PayLater has firmly established itself as a leader in Qatar's burgeoning digital payments sector since its inception. Operating under the strict regulatory oversight of the Qatar Central Bank, the company offers fully Sharia-compliant BNPL products tailored to local consumer needs. Its disciplined underwriting and growing adoption among merchants and users have positioned it as an ideal candidate for large-scale institutional financing.
Fueling Expansion with Structured Credit
For Shorooq, this MOU reinforces its leadership in the private credit space and its expertise in alternative investments. The firm specializes in designing customized financing structures for regulated, technology-driven businesses that are poised for significant growth. This potential transaction aligns with Shorooq's broader strategy of deploying capital to accelerate innovation while supporting founder-led companies.
Mahmoud Adi, Founding Partner at Shorooq, expressed strong confidence in the partnership's potential for success. He stated that the future of regional fintech will be defined by disciplined, well-regulated platforms capable of absorbing institutional capital at scale. Adi noted that PayLater's solid foundation makes it an ideal partner for structuring a credit solution that could set a new market benchmark.
A Vision for Qatar's Digital Finance Ecosystem
Dr. Devid Jegerson, Chief Executive Officer of PayLater, described the collaboration with Shorooq as a powerful validation of his company's progress. He emphasized that access to sophisticated, Sharia-compliant credit is critical for responsibly serving their growing base of customers and merchant partners. This partnership is seen as a key enabler of PayLater's long-term vision to bolster Qatar's standing as a leading fintech hub.
This development arrives at a pivotal time for the region's financial technology landscape, which is seeing an increased focus on Sharia-compliant digital finance. The collaboration between a leading investor and a regulated fintech platform highlights the growing need for robust institutional funding infrastructure. Such partnerships are essential for supporting the continued growth and stability of the digital economy across the Middle East.
The Memorandum of Understanding between Shorooq and PayLater represents a significant milestone for Qatar's fintech ecosystem. This strategic exploration of a bespoke credit facility not only supports PayLater's ambitious growth plans but also signals a new level of maturity in the market. If finalized, the partnership is poised to create a powerful model for how regulated, Sharia-compliant fintechs can leverage institutional capital to drive innovation and scale responsibly.