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Wildberries Steps into the Future with Virtual Fitting Rooms

Wildberries: From Russian Roots to Global Ambition

Wildberries is a major e-commerce marketplace founded in Russia in 2004 by Tatyana Kim. Over the years, it has scaled rapidly to become one of the largest online retailers in Eurasia, expanding beyond Russia into neighbouring countries and increasingly into cross-border operations.

A unique model has powered the company’s growth: an expansive network of pick-up points, now numbering over 70,000 worldwide, where customers can collect and return orders. This system has helped Wildberries build trust in regions where home delivery is less reliable and has lowered return-handling costs. In Russia, Wildberries commands almost half of the online marketplace share, while internationally it has made inroads in Central Asia, Eastern Europe, and, more recently, Türkiye and the UAE.

Yet with scale comes new challenges. Competing against global heavyweights such as Amazon and regional champions like Trendyol and Noon, Wildberries has realized that infrastructure alone is not enough. The next phase of its growth depends on innovation that improves the customer experience.

Key metrics as of 2025 include:

Serving 79 million customers across its markets.
Processing more than 20 million orders per day.
Operating a logistics network with over 130 facilities and tens of thousands of “pick-up” or “pickup” points (58,000+ to over 70,000 depending on metric/source) across multiple countries.
There has been significant growth in its “pick-up point” network: one report notes a 75% increase in pickup points in its markets since the beginning of 2024.

Also, Wildberries holds a very large share of the marketplace sector in the Russian domestic market. For instance, in 2024, its market share among Russian marketplaces was approximately 47%.

The Virtual Fitting Room: A Digital Experiment

In September 2025, Wildberries unveiled a virtual fitting room to let shoppers “try on” clothes digitally. Customers can input measurements, select avatars, and see how garments drape and fit in real time. The goal is simple but transformative: Reduce the high rate of returns in online fashion shopping while giving buyers the confidence of a near-in-store experience.

For Wildberries, this is more than a tech gimmick. Returns are one of the costliest aspects of e-commerce, particularly in clothing. By cutting even a fraction of unnecessary shipments, the company could save millions, ease logistical strain, and boost seller satisfaction. Sellers, many SMEs, also benefit from fewer disputes and higher conversion rates.

Wildberries in Türkiye

Wildberries entered the Turkish market in late 2021, offering 5.6 million items from 163,000 brands. Its arrival was bold, but it faced stiff competition from Trendyol, Hepsiburada, and Amazon Türkiye, all of which have strong local logistics and customer loyalty.

The virtual fitting room could become a differentiator here. Turkish consumers are often cautious with cross-border platforms due to shipping delays and complicated return policies. A reliable fitting tool may lower these barriers, making Wildberries more attractive for fashion purchases. However, success will hinge on localization, Turkish sizing, modest fashion considerations, and local payment and return systems integration.

Wildberries in the United Arab Emirates – UAE

Wildberries has taken a different route in the UAE, positioning itself as a bridge for local sellers to access Eurasian markets. Deliveries from the Emirates are promised within six days, aided by automated customs clearance.

The virtual fitting room complements this strategy well. UAE-based fashion brands and SMEs can present their products to millions of Wildberries customers across Russia and Central Asia with greater confidence that buyers will get the right fit. In a market where consumers value premium service and technological sophistication, the new feature enhances Wildberries’ credibility as more than just a bargain platform.

The launch of the virtual fitting room illustrates a turning point for Wildberries. Once focused almost exclusively on scaling new markets, warehouses, and pick-up points, it is now signalling a commitment to experience and innovation. This evolution is crucial if Wildberries wants to remain competitive in diverse and demanding markets outside Russia.

Wildberries’ virtual fitting room is both an experiment and a gamble. If successful, it could redefine how the company is perceived in Türkiye, the UAE, and beyond, less as a Russian export platform and more as a global e-commerce innovator. If it fails, however, it risks exposing the weaknesses of logistics delays, lack of localisation, and limited customer support that competitors could exploit.

Despite its promise, the virtual fitting room faces significant hurdles. If the technology produces inaccurate results, it may erode rather than build trust. For sellers, adapting product listings to the new system could mean extra costs, from higher-quality photos to more precise measurement data. Moreover, neither Türkiye nor the UAE is short of competitors. Platforms like Trendyol and Noon already offer fast local deliveries and easy returns. Wildberries must prove that its tech-driven approach can match or exceed these advantages.

Either way, the fitting room is a telling metaphor: Wildberries is trying a new identity for size. The question now is whether it fits.

Ukrainian AI Startup Transforms E-Commerce Experience

A Ukrainian tech startup based in Texas called FOX Nails USA is developing an artificial intelligence system that predicts customer needs with high accuracy and aims to redefine e‑commerce by replacing traditional shopping with a hyper‑personalized experience. The startup claims its model performs better than conventional marketplaces including Amazon in relevant conversion metrics. Dev.ua reports on how this “telepathy effect” is already changing how customers are understood and served. dev.ua

Origin and Vision

FOX Nails USA was founded by 30‑year‑old Ukrainian entrepreneur Ilya Kostenko together with his wife Valeria Barbenitskaya. The inception of the idea came after observing inefficiencies in modern e‑commerce and the “digital supermarket” model where consumers have to search for what they want. The founders believe this model causes friction especially for B2B clients such as professional nail technicians. dev.ua

The goal for the startup is not to merely compete with Amazon as a large marketplace. Instead the aim is to become an external operational brain for their clients’ businesses. The system aims to anticipate needs, reduce decision fatigue, and deliver just what the customer needs, often before the customer asks. dev.ua

How the System Works

The AI system, called Symbiotic Assistant, is a core part of FOX Nails USA. It is trained on proprietary transactional and behavioral data. It does not rely on large general language models for customer communication. Instead it uses custom predictive models built with machine learning algorithms like gradient boosting and specialized neural networks. These models forecast next purchase dates, classify customer profiles, and map upcoming needs. dev.ua

The technological stack includes Python for backend machine learning work, PostgreSQL for database needs, React.js for the merchant dashboard, and Amazon Web Services for infrastructure. dev.ua

The system monitors not only purchase history and product views. It tracks finer behavioral signals such as time spent on page, cursor movements, typing speed and implicit interest. It also predicts individual product trends by comparing customer data with global trends in the nail industry and public sources of inspiration like social media boards. The storefront offered by FOX Nails USA can become dynamic, altering both layout and product offers depending on what the customer is likely to need. dev.ua

Business Model and Performance

FOX Nails USA operates with a dual monetization strategy. First, it maintains a classic‑margin business by selling goods directly. This functions as a proof of concept and a testing ground for the technology. The second part is the SaaS service for other businesses, where Symbiotic Assistant will be made available to Shopify stores on a subscription basis plus a small percentage of sales generated through the system. dev.ua

Financially FOX Nails USA reports stable growth. It reached over three million US dollars in annual turnover. In its first year revenue was about 500,000 USD, in the second year about 1.5 million, and now it exceeds 3 million USD. The store also claims an unusually high acceptance rate of generated draft orders. More than seventy percent of proposals created by the system are accepted without modifications from customers. This is significantly higher than traditional conversion rates in e‑commerce. dev.ua

Ethical and Operational Priorities

The founders emphasize that they do not work with companies or individuals from the Russian Federation. The engineering team remains largely based in Ukraine where much of the model building and data work is done. dev.ua

FOX Nails USA is self‑funded at this stage. The founders prefer to keep full control over their product vision. They are open to strategic investments and partnerships but do not seem to be in a hurry to raise traditional venture capital. dev.ua

Future Plans

The startup has several roadmap items it plans to pursue:

Launching a closed beta program for Shopify stores in other B2B niches like barbershops, tattoo studios, crafts, and bakeries to integrate Symbiotic Assistant. dev.ua
Expanding integrations to support additional calendar services and workflow tools relevant to professionals. dev.ua
Enhancing AI capabilities to analyze not only text data but also visual content such as images from social inspiration platforms. This should help anticipate new trends. dev.ua
Public launch of the SaaS platform through the Shopify App Store to scale to many businesses globally. dev.ua

Implications for E‑Commerce

The story of FOX Nails USA reflects a shift in e‑commerce from mass marketing toward hyper‑personalization and prediction. Traditional e‑commerce relies heavily on search queries from customers. FOX Nails USA seeks to eliminate or reduce the need for search by anticipating customer needs and delivering proposals before the customer explicitly searches. This may reduce friction, increase loyalty, and keep customers more engaged. dev.ua

The term “telepathy effect” is used metaphorically to describe the ability of the system to forecast needs by reading implicit behavioral signals. It represents a new paradigm in customer experience design. dev.ua

Conclusion

FOX Nails USA is a startup that blends technology, operations, and behavioral science to transform how B2B e‑commerce works for professionals. By focusing on predictive models, personalized storefront experiences, and integrating deeply into clients’ workflows the startup aims to offer a service where customers feel understood and proactively served.

The success and growth so far suggest that the telepathy effect is more than marketing rhetoric. It is becoming a tested reality. For many Shopify‑based businesses and professional vendors this might point toward a future where artificial intelligence not only supports sales but drives them in ways that were previously unimaginable.

As the company prepares to open its SaaS offering to more business categories and global audiences, its performance in real‑world use cases will be important. Conversion and retention metrics, customer satisfaction, and the ability to anticipate meaningful trends will likely define how widely this model can be adopted.

NovaPLUS Launches E-Commerce Platform in Kenya

NovaPLUS, a newly established digital commerce company, has officially launched its e-commerce services in Kenya with the goal of reshaping how businesses and consumers interact online. The company provides a platform that connects verified local businesses with customers and offers digital tools to improve visibility, trust, and sales across key industries.

Launched in 2024, NovaPLUS focuses on helping businesses in real estate, hospitality, travel, automotive, and lifestyle sectors build a strong digital presence while maintaining high service standards and transparency.

A Trusted Digital Marketplace

NovaPLUS places a strong emphasis on business verification. Each business listed on the platform must go through an authentication process to ensure legitimacy and eliminate fake or unreliable vendors. This helps address common issues in Kenya’s online commerce space, such as scam listings and inconsistent service quality.

Additionally, customers can leave reviews and rate their experience with businesses on the platform, promoting accountability and helping other users make informed decisions.

For more on this announcement, visit the official news release on KBC Kenya.

Why Kenya is Ready for NovaPLUS

Kenya’s e-commerce industry is among the fastest-growing in Africa. A combination of increasing smartphone usage, internet penetration, and mobile payment platforms like M-Pesa has created a strong foundation for digital commerce to thrive. Industry analysts project that online shopping activity in Kenya could reach over 50 percent penetration by the end of 2025.

The entry of NovaPLUS into the market aligns with a growing demand from small and medium-sized businesses that want to build an online presence but lack the digital tools or infrastructure to do so. The platform offers services like listing support, ad targeting, and customer engagement tools designed to bridge this gap.

Read more about Kenya’s digital market trends on Techweez.

Key Features of the Platform

NovaPLUS offers a variety of features aimed at improving user experience and business growth. These include:

Verified listings to ensure all businesses are legitimate
Customer reviews and ratings to promote transparency
Focus on specific industries such as real estate and hospitality
Digital marketing tools for businesses to reach target audiences more effectively

These tools aim to help Kenyan businesses improve their reach, manage their online reputation, and drive sales through trusted channels.

Challenges in the E-Commerce Landscape

Despite its potential, NovaPLUS will need to overcome several challenges to succeed in Kenya’s competitive market. First, building consumer trust takes time, especially in a market where online fraud remains a concern. The company’s verification process and review system may help, but widespread adoption will depend on consistent service delivery.

Logistics and delivery infrastructure also remain an issue, particularly for customers in remote areas. NovaPLUS will need to develop partnerships or integrations with delivery service providers to ensure reliable distribution.

Digital literacy is another factor. While urban populations are increasingly tech-savvy, many rural users still lack access to information or confidence in using online platforms. Education and onboarding campaigns may be necessary to close this gap.

Lastly, the platform will face competition from established players such as Jumia and Kilimall, which already have brand recognition and user loyalty. NovaPLUS will need to differentiate itself through better service, smarter tools, and local engagement.

Company Vision and Growth Plans

Looking forward, NovaPLUS plans to expand its reach across Kenya by onboarding more verified businesses and improving discoverability through smart search tools and personalized recommendations.

The company aims to serve businesses beyond the capital Nairobi by targeting underserved regions and helping small enterprises digitize their operations. Additional features like analytics dashboards, paid promotions, and customer support channels are expected to roll out in upcoming phases.

NovaPLUS is also working on enhancing fraud prevention mechanisms and user support to ensure smooth operations and user confidence.

More details on digital transformation strategies for SMEs can be found at Business Daily Africa.

Kenya’s E-Commerce Environment

Kenya’s digital commerce landscape offers several advantages for a new entrant like NovaPLUS. The country has high mobile phone penetration, with most internet users accessing the web through mobile devices. Digital payment solutions like M-Pesa simplify transactions and encourage people to shop online.

A young, tech-savvy population is another key driver. With more Kenyans preferring online shopping, home delivery, and cashless payments, the country is ripe for platforms that can offer secure and reliable digital services.

The COVID-19 pandemic also accelerated this shift. Many consumers who were previously hesitant have now become comfortable making purchases online, creating an even larger potential customer base for platforms like NovaPLUS.

Conclusion

NovaPLUS’s entry into the Kenyan e-commerce market reflects the growing demand for trustworthy, industry-focused digital platforms. By offering verified listings, user feedback systems, and targeted business tools, the platform aims to empower local businesses and protect consumers.

To succeed in a market with both immense opportunity and serious challenges, NovaPLUS must continuously innovate, build partnerships, and earn the trust of its users. If it does, it could become a leading force in Kenya’s digital transformation and a model for similar platforms across East Africa.

As the competition intensifies and e-commerce adoption accelerates, NovaPLUS will be one to watch closely in the months ahead.

Syria and Morocco Deepen Postal and Digital Cooperation

Syria and Morocco have signed recent agreements aimed at boosting collaboration in digital technologies, postal services, and financial remittances. The memoranda of understanding (MoUs) were formalised by senior postal administrators during the 28th Universal Postal Congress held in the United Arab Emirates. The goal is to modernise joint services and improve access for users in both countries.

Key Elements of the Agreements

Imad al‑Din Hamad, Director‑General of the Syrian Postal Corporation, and Ahmed Amine Touimi, Director‑General of Morocco Post Group, signed a memorandum focusing on several areas. These include sharing technical and technological know‑how, organising joint training programmes, and cooperating in electronic remittances, urgent mail, e‑commerce, and postal financial services. (SANA) الوكالة العربية السورية للأنباء – سانا

Another part of the plan involves improving postal service quality. Both parties will work on modernising postal operations, streamlining urgent mail delivery, and enhancing coordination at regional and international postal forums. The expectation is that these steps will benefit ordinary postal users in both Syria and Morocco. الوكالة العربية السورية للأنباء – سانا

In addition to the Syrian‑Moroccan MoU, Syria also entered a separate agreement with Turkey’s PTT (Turkish Post) through its Director General Hakan Gulten. That agreement focuses on boosting cooperation in shipping and e‑commerce sectors. الوكالة العربية السورية للأنباء – سانا

Strategic Rationale

The agreements reflect growing interest by many nations in upgrading postal networks and integrating financial services via postal systems. Postal corporations are often under‑utilised channels for financial inclusion, especially in regions where traditional banks have limited reach. By digitalising remittances and integrating e‑commerce, postal services can serve as critical infrastructure for underserved communities.

Syria and Morocco share a common interest in leveraging their postal services to bridge gaps in financial access, cross‑border trade, and digital payments. These sectors have seen rising demand globally. According to a UNCTAD report, e‑commerce and digital payments have accelerated sharply in developing countries, with postal operators playing a key role in last‑mile deliveries and payment settlements. الوكالة العربية السورية للأنباء – سانا+1

Benefits for Stakeholders

For postal users, the cooperation means expect faster, more reliable postal delivery, improved quality of urgent mail service, and more efficient financial services via postal channels. Electronic remittances could become quicker, cheaper, and more accessible. For businesses engaged in e‑commerce, particularly small sellers crossing national borders, better shipping and logistics cooperation between postal systems can reduce delays and costs.

For the two nations’ postal administrations, the MoUs offer opportunities to modernise technology stacks, train staff in newer competencies, and improve standards. They will likely share best practices in logistics, track‑and‑trace systems, and customer service. Institutional capacity building through joint training programmes is central to these improvements.

Challenges and Considerations

Implementing MoUs is only the start; translating them into meaningful results involves overcoming several hurdles. Infrastructure gaps are one concern. Postal systems in many places face limitations in digital infrastructure, connectivity, data management, and modern logistics facilities.

Regulatory and operational coordination across borders is also demanding. Harmonising rules for cross‑border shipments, customs procedures, electronic money transfers, and postal finance regulation will require negotiation, legal alignment, and cooperation at governmental levels.

Another concern is maintaining trust and reliability. Users will expect secure, transparent services. Postal financial services must ensure good customer protection, fraud prevention, and clear pricing for remittances and related services.

Outlook: What Steps May Follow

Moving ahead, both Syria and Morocco may undertake the following actions:

Establish shared technology platforms and training centres to build technical capacity among postal staff.
Pilot e‑commerce initiatives to test new delivery and payments models in select regions to refine operational workflows.
Develop joint remittance solutions which reduce costs and processing times, particularly for diaspora populations or people sending money across borders.
Upgrading postal infrastructure: better tracking, digital interfaces for customers, upgraded sorting and delivery facilities.
Engage with international postal bodies and logistics consortia to adopt standards and practices that allow smoother international postal cooperation.

Conclusion

The recent Syrian‑Moroccan and Syrian‑Turkish agreements mark significant steps toward modernising postal services in a way that combines traditional delivery with digital innovation. As both nations move forward with these plans, improvements in e‑commerce logistics, remittances, and urgent mail services could have a real impact on citizens, businesses, and cross‑border trade. Institutional collaboration, capacity building, and regulatory harmonisation will be key to turning these memoranda into positive change.

Abu Dhabi Trials Drone Delivery to Elevate Smart Logistics

Abu Dhabi has begun pilot tests of parcel delivery by drone as part of its broader push to develop smart, sustainable logistics infrastructure. This trial is intended to reinforce the emirate’s position as a leader in autonomous transport systems and is being overseen by the Integrated Transport Centre (ITC) of the Department of Municipalities and Transport. The initiative is being conducted in collaboration with Load Autonomous, a company specialized in autonomous aerial logistics. Gulf News reported that a package was transported using a drone equipped with a robotic arm from Al Samha to the Khalifa Industrial Zone Abu Dhabi (KIZAD). The mission used an advanced navigation system aimed at ensuring precision and safety. Gulf News

Trial Details and Technical Innovations

During the test flight, safety and regulatory compliance were emphasized. The ITC utilizes the national unified platform for unmanned aircraft traffic management to streamline approvals while ensuring that drone use meets privacy and operational safety requirements. This regulatory framework reflects Abu Dhabi’s strategy to integrate drones into its transport ecosystem responsibly. Gulf News

Load Autonomous demonstrated a large hybrid VTOL (vertical take-off and landing) cargo drone known as “Heli.” The drone is capable of carrying up to 250 kilograms over a range of 300 kilometers. It combines electric motors with an internal combustion engine so that it can operate without the need for conventional airport infrastructure. This design could enable medium‑range cargo delivery across areas lacking developed airport facilities. Gulf News

Rashid Matar Al Manai, CEO of Load Autonomous, remarked that drone logistics has the potential to significantly reduce delivery times, especially for e-commerce and modern supply chains. He emphasized that what previously took days via traditional ground transport may soon be achieved in just a few hours through autonomous aerial delivery. Gulf News

Strategic Aims, Logistics, and Regulation

The pilot fits into Abu Dhabi’s wider ambitions in intelligent mobility. The emirate is focusing on expanding autonomous systems, revising and streamlining drone regulations, and improving logistics to meet growing demand. For example, the trial is part of efforts to strengthen Abu Dhabi’s global standing in sustainable transport and smart mobility. Gulf News

One of the major regulatory enablers is the traffic management platform that allows for faster approval of unmanned aircraft operations. Ensuring privacy and safety standards are met is central to the ITC’s oversight. The drone used in the trial had to meet requirements regarding navigation precision, operational range, and safe routing. Gulf News

Broader Implications for Supply Chains and E‑Commerce

E‑commerce growth has put pressure on logistics networks worldwide to find faster, more flexible ways to deliver small and medium sized packages. Traditional road transport often faces congestion, delays, and routing inefficiencies. Aerial delivery using drones, particularly for last‑mile logistics or between hubs, could alleviate many of these issues.

In Saudi Arabia, for instance, postal authorities are similarly testing drone parcel deliveries in rural and remote areas to cut down on travel time and improve service reliability. That initiative shares similarities with Abu Dhabi’s trial, highlighting regional interest in drone logistics. Gulf News

In Europe and North America companies such as Wing (a subsidiary of Alphabet) and Zipline are also exploring drone delivery models for medical supplies, retail, and groceries. These projects offer useful case studies in efficiency, regulatory compliance, and public acceptance. According to a report by McKinsey, drone logistics could reduce delivery costs by up to 25 per cent in certain settings and reduce carbon emissions by decreasing reliance on road transport.

Challenges and Risks in Scaling Drone Logistics

Technical and regulatory risks remain. The navigation systems must be highly precise to avoid accidents. Weather conditions such as wind, dust storms or heavy rain—particularly in the Gulf region—can affect drone operations. Maintenance, battery life or fuel efficiency in hybrid drone models are also crucial to ensure consistent performance.

Regulatory governance remains complex. Ensuring drones do not infringe on privacy, airspace restrictions, and coordination with air traffic control are significant challenges. The ITC’s oversight helps address these, but scaling up operations will require further regulatory refinement and perhaps international alignment in unmanned aircraft traffic management rules.

Public perception and safety concerns also matter. Communities over which drones fly must be assured of safety, noise pollution, and reliability. Ensuring that drones deliver without causing disruption or hazards is essential for public acceptance.

What to Expect Moving Forward

If successful, Abu Dhabi may roll out drone delivery more broadly. Expect trials to expand beyond simple parcel delivery to include urgent medical supplies, critical spare parts, or even mid‑size cargo in industrial zones. Partnerships with logistics companies, e‑commerce platforms, and technology developers will be central to scaling.

Infrastructure investment will likely follow. Drone ports, charging or refueling stations, maintenance hubs, and navigation beacons may all become more common as operations grow. Hybrid VTOL technology, like the “Heli” model, could find use in connecting remote or hard‑to‑reach locations.

Policy and regulation likely will evolve in tandem. More clarity on flight corridors, airspace usage, certification of drone pilots or operators, and liability in case of accidents will be necessary. International best practices and models from other countries are likely to inform UAE policy adjustments.

Regional and Global Context

Abu Dhabi’s drone pilot aligns with regional trends. The UAE has been investing heavily in smart mobility, autonomous vehicles, and AI of late. Projects in Dubai such as autonomous transport pods, driverless delivery vehicles, and smart traffic systems are complementary in showcasing how cities of the future might function.

Globally, drone logistics is attracting investment and regulatory experimentation. For example companies like Amazon Prime Air, Wing, and Zipline have carried out tests or limited operations in several countries. Academic, environmental, and safety stakeholders are also involved in many countries to ensure drone delivery aligns with sustainability goals.

Conclusion

Abu Dhabi’s trial of drone delivery from Al Samha to KIZAD signals a step change in how logistics can evolve in urban and industrial settings. It shows a willingness to invest in pioneering technologies, to modernize regulation, and to reimagine delivery networks in ways that meet rising e‑commerce demand and environmental goals.

If the pilot proves reliable, safe, and efficient, the emirate may become a benchmark for drone logistics in the region. The combination of regulatory support, technological innovation, and strategic planning could allow drone delivery to move from controlled trials to everyday logistics operations.

Egyptian Fintech MNT‑Halan Targets GCC Expansion

Egyptian fintech company MNT‑Halan has set its sights on growing operations in the Gulf Cooperation Council (GCC) region, particularly in the United Arab Emirates and Saudi Arabia. The company wants to serve low‑income and underserved populations, using recent partnerships and new product launches to deepen its financial inclusion mission. (AGBI) AGBI

From Digital Payments to Auto‑Loans

MNT‑Halan originally made its name by offering digital payments in Egypt, focused on customers who lacked access to traditional banking services. It began with mobile wallets and card services, then broadened into money lending, ecommerce, and payroll advances. (AGBI) AGBI

In the UAE, the fintech has introduced an auto‑loan product for used cars. This is a soft launch aimed at filling a gap in financing options for lower‑income consumers who often face difficulty accessing credit. (AGBI) AGBI

To strengthen its credit risk capabilities, MNT‑Halan recently partnered with Lean Technologies. That collaboration is intended to improve how the company assesses creditworthiness in new markets, allowing more lending with manageable risk. (AGBI) AGBI

GCC Ambitions and Market Dynamics

Omar Ramadan, CEO of MNT‑Halan GCC, is confident that opportunities exist, particularly in Saudi Arabia. He believes that, although the GCC is already home to numerous fintechs, banks, and finance companies, there is space for innovation especially in under‑served segments. (AGBI) AGBI

Saudi regulators are observed as progressive in building digital infrastructure, which makes the market more appealing for companies like MNT‑Halan that specialize in digital inclusion. (AGBI) AGBI

Scale and Track Record

MNT‑Halan became a unicorn in 2023 (startup valued at over $1 billion), demonstrating strong investor confidence. (AGBI) AGBI

In its UAE business, which has been running for about 18 months, the company reports having served approximately 1.5 million customers in payments and 220,000 in lending. It also entered a partnership with Al Ansari, a UAE‑based exchange company, to offer salary advances to employed people. (AGBI) AGBI

In Egypt, MNT‑Halan has underwritten 8 million customers, many with limited credit history or formal financial data. That experience is seen as a key strength for its expansion plans. (AGBI) AGBI+1

Financial Inclusion and Underserved Markets

An important part of the company’s strategy is to serve people who are often overlooked by traditional banks. These include low‑income consumers, those without substantial credit history, or users who are “underbanked.” MNT‑Halan believes its technology, data, and risk models give it advantage in those segments. (AGBI) AGBI

Saudi Arabia is especially interesting given its large market size and rapid growth in ePayments. For example, transactions through ePayments in Saudi Arabia have grown significantly in recent years, showing the government’s support for digital finance. (AGBI) AGBI

Challenges and Risks

Entering a new market involves regulatory, competitive, and operational challenges. MNT‑Halan will need to navigate licensing, risk regulation, consumer protection laws and local banking partnerships. These factors can slow down expansion or increase costs.

Competition is another concern. Even though Ramadan suggests there is room in the market, GCC fintech and finance companies are well established. To succeed, MNT‑Halan must offer differentiated products, superior user experience, and maintain trust.

Credit risk is always a factor, especially when lending to customers with limited financial history. The partnership with Lean Technologies aims to address this, by improving credit assessment models. However scaling up those models in new geography will require strong local data and regulatory alignment.

Supporting Data and Related Moves

MNT‑Halan has raised significant capital in recent periods. For example, in mid‑2024 it raised $157.5 million in a funding round led by IFC and others to support regional expansion. (FinTech Futures) FinTech Futures

The company has also made strategic acquisitions and obtained microfinance licenses in markets like Pakistan, further diversifying its footprint and gaining experience in financial services outside Egypt.

Outlook: What to Expect Next

In the coming months, MNT‑Halan is likely to formalize its entry into Saudi Arabia with licensing or partnerships with local fintech or financial institutions. It may roll out further auto‑loan, salary advance, or small consumer finance products targeting underserved segments.

Expansion will likely involve scaling digital infrastructure, risk assessment technologies, and local compliance frameworks. Also, physical presence or partnerships may help, especially for customer trust and service in underserved areas.

If successful, this expansion could establish MNT‑Halan as a regional leader in serving customers who have been traditionally excluded from mainstream banking, further pushing financial inclusion across the GCC.

Balancing Strategy and Sensitivity in Multi-Family Offices

Managing multi-family offices has become increasingly complex as wealth management evolves to meet the needs of ultra-high-net-worth families. Mehrez Kheir, a leading expert in the field, discusses how multi-family offices orchestrate the delicate balance between strategic growth, personalized client engagement, and operational scalability. This balancing act is crucial for delivering tailored services while navigating the challenges of regulatory changes and market volatility.

The Complex Role of Multi-Family Offices

Multi-family offices differ significantly from traditional wealth management firms by providing a comprehensive, integrated suite of services that extend well beyond investment advice. These services typically include estate and succession planning, philanthropic advisory, tax strategies, risk management, and family governance. Each service must be adapted to the specific circumstances and values of individual families, often requiring a highly sensitive and nuanced approach.

According to the Family Office Exchange, multi-family offices are growing in prominence as affluent families seek holistic wealth management solutions that consider their unique legacies and intergenerational dynamics. This growth demands that these institutions master operational complexity while maintaining personalized service. (familyoffice.com)

Strategy Rooted in Sensitivity

A central theme emphasized by Mehrez Kheir is that strategic decision-making in multi-family offices cannot ignore the emotional and interpersonal dimensions of wealth. Wealth transfer and preservation involve deeply personal issues related to family identity, legacy, and relationships. This requires advisors to exercise empathy and discretion, ensuring strategies align with clients’ values and long-term visions.

Campden Wealth’s research highlights that successful multi-family offices prioritize understanding family culture and dynamics, which enables them to design bespoke financial and governance strategies. They act as trusted stewards, helping families navigate complex decisions with sensitivity and respect. (campdenwealth.com)

The Challenge of Scaling Personalization

Scaling operations while maintaining a high degree of personalization represents a paradox for many multi-family offices. As client portfolios and service offerings grow, institutions risk losing the close relationships that differentiate them from mass-market providers. Mehrez Kheir suggests that technological innovation is critical to solving this dilemma.

By integrating digital platforms for secure client communication, data analytics for personalized insights, and workflow automation for operational efficiency, multi-family offices can enhance scalability without compromising on client intimacy. Nonetheless, Kheir stresses that technology is a tool to complement, not replace, human advisors who build trust and emotional connection. (hubbis.com)

Navigating Regulatory and Market Volatility

Multi-family offices operate within an increasingly complex regulatory environment that varies across jurisdictions. Compliance is not merely a legal necessity but also a client expectation, particularly as families become more conscious of reputational risks. Mehrez Kheir notes that proactive compliance management, embedded within client services, strengthens trust and safeguards assets.

In addition, market volatility presents ongoing challenges that require agile risk management frameworks. AI-driven analytics and scenario modeling are emerging as vital tools to anticipate market shifts and optimize portfolio resilience. The Saudi Central Bank’s recent guidelines on fintech and AI adoption illustrate the growing importance of technology in risk and compliance management, applicable across wealth management sectors.

Innovation and Collaboration for Future Growth

Looking forward, Mehrez Kheir envisions multi-family offices embracing cutting-edge technologies such as artificial intelligence, blockchain, and machine learning to enhance decision-making transparency and operational efficiency. These innovations can help provide deeper insights into investment opportunities and risk exposures, improving client outcomes.

Moreover, collaboration with specialized service providers including legal, tax, and philanthropic experts is becoming standard practice. Such partnerships allow multi-family offices to deliver truly holistic solutions, addressing the increasingly sophisticated demands of ultra-high-net-worth families. According to PwC’s global report on AI adoption, strategic partnerships are a key driver of innovation and competitive advantage in the wealth management sector.

Conclusion

The evolving landscape of multi-family office management requires a nuanced balance between strategic rigor, client sensitivity, and scalable operations. Mehrez Kheir’s insights highlight that success in this space depends on integrating empathy with advanced technology and robust compliance frameworks. By orchestrating these elements effectively, multi-family offices can continue to meet the complex and growing needs of ultra-high-net-worth families.

This balanced approach ensures that families receive personalized, trusted advice while benefiting from the efficiencies and innovations that scale enables. As multi-family offices adopt these principles, they position themselves for sustainable growth and enduring client relationships.

Saudi Arabia’s AI Growth Spotlighted at Money20/20

Riyadh hosted the annual Money20/20 Middle East conference, a key event spotlighting the rapid advancements in financial technology across the region(AI). This year, the focus was sharply on artificial intelligence (AI) and its growing influence in Saudi Arabia’s financial sector. With over 450 fintech companies and more than 1,050 global investors attending, the event underscored the Kingdom’s increasing prominence as a hub for AI innovation aligned with its Vision 2030 objectives. (arabnews.com)

AI Moves from Concept to Core in Finance

Artificial intelligence has moved beyond theoretical frameworks and pilot projects to become a fundamental pillar of financial operations in Saudi Arabia. AI technologies are now integral in fraud detection systems, enabling institutions to swiftly identify suspicious transactions and reduce financial crime. Customer onboarding processes have been streamlined using AI-driven identity verification tools, which help banks comply with Know Your Customer (KYC) regulations while improving client experience. Risk modeling has also benefited from AI’s predictive capabilities, allowing for more accurate forecasting and better capital allocation. Regulatory compliance is further supported by AI systems that monitor transactions and flag anomalies, helping financial institutions meet strict local and international standards. These advancements collectively contribute to faster, more secure, and customer-friendly financial services. The Saudi Central Bank (SAMA) has been pivotal in promoting responsible AI adoption, releasing guidelines that encourage innovation while emphasizing data privacy and ethical AI use.

The Role of Vision 2030 in Driving AI Adoption

Saudi Arabia’s Vision 2030 framework aims to diversify the Kingdom’s economy away from oil dependency and position it as a leader in knowledge-based industries. Central to this vision is the integration of AI technologies across sectors. The Saudi Data and AI Authority (SDAIA) plays a crucial role in coordinating national AI efforts, fostering collaboration between public institutions and private enterprises. Through strategic investments in AI research centers and partnerships with global technology companies, Saudi Arabia is cultivating a robust AI ecosystem. Projections estimate that AI will contribute around $135.2 billion to the Kingdom’s economy by 2030, representing approximately 12.4 percent of the GDP. This economic boost is expected not only from finance but also from sectors such as healthcare, energy, logistics, and government services.

Practical AI Applications Transforming Financial Services

In the Kingdom’s financial sector, AI-powered credit scoring models enable lenders to assess applicants more quickly and accurately than traditional methods. This enhances access to credit for individuals and businesses that might otherwise be underserved, supporting financial inclusion goals. AI chatbots and virtual assistants provide personalized customer service around the clock, reducing wait times and improving satisfaction. Banks and insurers employ AI-driven predictive analytics to better tailor products, manage risks, and detect potential market trends. These innovations have turned Saudi Arabia’s fintech scene into one of the most dynamic in the Middle East, attracting significant local and international capital inflows. (finextra.com)

Growing Investor Interest and Market Confidence

Money20/20 highlighted a surge in investor enthusiasm for Saudi AI fintech startups. Many companies showcased cutting-edge AI solutions for fraud prevention, personalized financial planning, and real-time analytics. This investor interest reflects broader confidence in the Kingdom’s regulatory environment, which balances innovation with robust safeguards. Unlike some markets where unclear regulations hamper technology adoption, Saudi Arabia’s proactive approach is widely seen as a competitive advantage. According to PwC’s analysis, Saudi Arabia is one of the fastest-growing AI markets globally, driven by public sector investments and an entrepreneurial private sector eager to innovate. This trend is expected to continue, with venture capital and private equity increasingly channeling funds into AI-driven fintech ventures.

Challenges and Strategic Responses

Despite impressive progress, challenges remain on the path to fully realizing AI’s potential. Building sophisticated AI infrastructure demands considerable capital investment and a pipeline of skilled professionals. Cybersecurity risks escalate as AI systems become embedded in critical financial processes, requiring constant vigilance and advanced defense mechanisms. Ethical concerns about algorithmic bias and transparency call for ongoing development of regulatory frameworks and best practices.

To address these challenges, Saudi Arabia is investing heavily in education and training programs aimed at developing AI expertise domestically. Public-private partnerships are fostering innovation hubs and incubators to accelerate technology development. Regulatory bodies are continuously refining guidelines to ensure responsible AI use while encouraging experimentation and growth.

The Future of AI Beyond Finance

Looking beyond the financial sector, Saudi Arabia envisions AI playing a transformative role across multiple domains. In healthcare, AI-powered diagnostics and personalized medicine promise improved patient outcomes. The energy sector is exploring AI for optimizing resource extraction and reducing environmental impacts. Logistics companies are adopting AI to streamline supply chains and increase efficiency. Government services are also set to benefit from AI-driven automation and data analytics, enhancing public sector productivity and citizen engagement.

Saudi Arabia’s comprehensive and integrated approach to AI adoption positions it as a leader in the Middle East and a model for other nations seeking to harness technology for sustainable economic development.

UAE and Saudi Arabia Lead the World in Sovereign AI Adoption

Recent research by EnterpriseDB has highlighted that the United Arab Emirates (UAE) and Saudi Arabia are emerging as global leaders in the adoption of sovereign artificial intelligence (AI) and data sovereignty frameworks. According to their report titled Sovereignty Matters: A Global Blueprint for Sovereign, Agentic and Generative AI, organizations in these countries are placing unprecedented importance on controlling their AI infrastructure and data locally, aligning these priorities with national economic development goals. (techafricanews.com)

Understanding Sovereign AI and Its Importance

Sovereign AI refers to the capability of organizations to fully control their AI models and associated data assets within their own borders or designated jurisdictions. This includes where data is stored, how it is processed, and the governance of AI model training and deployment, without depending on foreign providers or cloud infrastructure. The model aims to enhance data privacy, regulatory compliance, and national security, while fostering local innovation. (techafricanews.com)

In recent years, the proliferation of AI technologies and increasing concerns about data privacy have made sovereignty a critical issue worldwide. According to a 2025 report by McKinsey & Company, countries with clear data governance and sovereignty frameworks tend to attract more AI investments and achieve faster technology adoption rates. McKinsey states that “data localization and sovereign AI strategies are no longer just regulatory necessities but strategic differentiators for national competitiveness.”

Regional Leadership in the Middle East

The EnterpriseDB report notes that the Middle East, particularly the UAE and Saudi Arabia, leads the globe with a significant proportion of enterprises adopting sovereign AI approaches. Approximately 17 percent of enterprises in these nations are classified as “deeply committed” to sovereign AI, outpacing the global average of 13 percent. These organizations enjoy up to five times higher return on AI investments compared to those who do not prioritize sovereignty.

This trend is reflected in the number of AI applications deployed: companies focused on sovereignty are utilizing nearly twice the number of mainstream AI solutions and report a 2.5 times higher confidence in leading digital transformation efforts within their sectors.

These figures underscore the growing maturity and sophistication of AI ecosystems in these countries. In Saudi Arabia, for example, the government’s National Strategy for Data and AI prioritizes sovereign infrastructure development, aiming to establish the Kingdom as a regional AI powerhouse. Similarly, the UAE’s National Strategy for Artificial Intelligence 2031 sets ambitious targets for AI adoption, innovation, and local data control.

Government Initiatives and Economic Vision

The governments of both countries are playing a pivotal role in driving sovereign AI adoption. These initiatives are not limited to regulatory frameworks but include funding for research and development, nurturing AI talent, and incentives for building local AI infrastructure.

Saudi Arabia’s Vision 2030 has a strong focus on digital transformation, with AI and data sovereignty seen as key to achieving economic diversification away from oil dependency. The strategy emphasizes partnerships between public and private sectors to create resilient AI ecosystems within the country’s borders.

Similarly, the UAE’s commitment to AI is evident in its ongoing projects, including establishing AI innovation hubs and data centers that comply with international standards while remaining locally governed. According to a 2025 report by the World Economic Forum, these steps are making the UAE one of the most attractive AI investment destinations globally, thanks to its balance of innovation and sovereignty.

Benefits for Enterprises

Companies adopting sovereign AI strategies are realizing multiple advantages. Enhanced compliance with data privacy laws, such as GDPR equivalents in the region, helps mitigate legal risks. Customers and partners tend to trust organizations that clearly demonstrate control over their AI data, leading to stronger business relationships.

The EnterpriseDB report shows that these companies achieve notably higher returns on AI investments, with deeply committed organizations often seeing fivefold increases. This return is driven by faster, more reliable AI deployments that are better aligned with local market needs and regulations.

Moreover, sovereignty boosts confidence for organizations to experiment with more AI applications, accelerating innovation. Businesses operating in highly regulated industries such as banking, telecommunications, and healthcare particularly benefit, as sovereign AI enables them to meet strict compliance demands while maintaining operational agility.

Challenges Ahead

Despite strong momentum, several challenges remain. Building sovereign AI infrastructure demands significant investment in data centers, cloud platforms, and cybersecurity measures. There is also a shortage of local AI talent, which governments and companies are actively trying to address through training programs and partnerships with academic institutions.

Regulatory complexity adds another layer of difficulty. Navigating diverse data protection laws, cross-border data flows, and AI ethics standards requires constant vigilance and adaptable compliance strategies.

Cybersecurity is a persistent threat as well. While local data control reduces certain vulnerabilities, it does not eliminate risks from cyberattacks or misuse of AI technologies. Robust security architectures and governance frameworks are essential to safeguard sovereign AI assets.

The Road Ahead

Looking forward, the trend towards sovereign AI is expected to accelerate. More organizations are projected to move from pilot projects to full-scale deployments over the next three years. Governments are likely to enhance support for AI ecosystems through further investment, public-private partnerships, and regulatory refinements.

Public-private collaboration will be particularly important in sectors such as healthcare, energy, and logistics, where AI’s transformative potential must be balanced with stringent regulatory oversight.

As the global AI landscape evolves, countries like the UAE and Saudi Arabia will continue to set standards for balancing innovation with sovereignty, serving as examples for other nations looking to develop similar frameworks.

Expert Opinions

Kevin Dallas, CEO of EnterpriseDB, commented: “Our findings highlight sovereignty over AI and data as the single most critical factor in unlocking the true value of generative AI. The UAE and Saudi Arabia demonstrate how mission-critical sovereignty can lead to accelerated AI adoption, economic benefits, and stronger national security.”

Kash Rafique, General Manager for Middle East and Africa at EnterpriseDB, added: “The leadership we see here is a direct result of purposeful government policies and growing enterprise awareness. Sovereign AI is no longer just an IT concern; it is a strategic imperative for competitiveness across sectors.”

Wamda Capital Invests in Clarity’s $12M AI-Focused Round

Clarity, a fast-growing AI-powered customer experience startup, has successfully raised $12 million in a Series A funding round led by Prosus Ventures, with participation from a diverse group of global investors, including Wamda Capital. The investment comes at a time when companies are increasingly seeking smarter, compliance-first solutions to manage and analyze customer interactions at scale.

Founded in 2022 by Abed Kasaji and Pavel Kochetkov, the company was originally known as Anecdote before undergoing a strategic rebranding earlier this year. Now operating under the name Clarity, the startup focuses on regulated industries such as finance, telecommunications, and government, where customer engagement is heavily monitored and strictly governed by data protection laws.

CEO Abed Kasaji explained the rationale behind the rebrand: “The name Clarity reflects our goal to give organizations precise, actionable insights into customer conversations, without compromising on security or compliance. We saw too many platforms either cutting corners or ignoring the needs of regulated sectors.”

This funding round saw participation not only from Prosus Ventures and Wamda Capital but also from STV Al Fund (backed by Google), Sukna Ventures, Neo, Oraseya Capital, Phaze Ventures, Propeller, and Tech Invest Com. Several angel investors from companies like OpenAI and Google also contributed to the round, highlighting the widespread interest in enterprise-ready AI solutions.

With this new capital, Clarity plans to grow its applied AI engineering teams across three international hubs: New York, London, and Riyadh. This is part of a strategy to expand its global footprint and tap into deep local talent pools.

In terms of performance, 2025 has been a breakout year for Clarity. According to the company, it has seen a 5.4x increase in annual recurring revenue (ARR) and has sustained month-over-month growth above 20 percent. These figures are particularly impressive given the competitive nature of the customer experience (CX) software market.

In its report on CX trends, VentureBeat recently noted that AI-powered platforms focused on compliance and data transparency are gaining traction with enterprise clients. The report cited Clarity’s rapid growth and regulatory-first approach as examples of where the industry is heading.

Unlike many CX platforms that focus solely on feedback collection or superficial sentiment analysis, Clarity offers a more robust, AI-driven solution. It provides voice and text analytics, fraud detection tools, high-risk interaction flagging, and automated workflow management. All of these are tailored for sectors where compliance is not optional.

Some of the company’s current clients include OpenAI, Booking.com, Grubhub, Careem, and Saudi Telecom Company (STC), indicating both regional strength and global reach.

Investor sentiment is also optimistic. Robin Voogd, Head of Middle East Investments at Prosus Ventures, stated: “We’ve observed Clarity’s impact firsthand in our portfolio companies. Their ability to deliver actionable, accurate intelligence within regulated industries sets them apart from most players in the space.”

Similarly, Wamda Capital’s investment underscores their continued interest in enterprise SaaS platforms emerging from the MENA region. A spokesperson noted that Clarity represents the kind of tech-enabled infrastructure that regulated businesses have long needed, a tool that is both flexible and precise.

The company’s roadmap includes further enhancements to its AI stack, partnerships with large enterprise clients, and the rollout of new features that allow organizations to extract insights at greater speed and depth. In regions like the Gulf, where regulatory environments are evolving rapidly, such agility is considered a significant competitive advantage.

However, the road ahead isn’t without challenges. As Kasaji notes, navigating international compliance frameworks, from GDPR in Europe to various local laws in the Middle East, requires a strong legal and engineering foundation. Additionally, the company faces increasing competition from larger enterprise players entering the VoC and customer intelligence space.

Still, Clarity’s early traction and unique positioning have earned it a spot among the top emerging AI startups in the region. With the support of prominent investors and a leadership team that understands the complexity of regulated environments, it is well-positioned to scale its solution globally.

The latest funding marks more than just a financial milestone. It’s a signal of where customer experience technology is heading: smarter, safer, and more aligned with the governance realities of modern enterprises.

As noted by VentureBeat, the future of enterprise CX will be shaped not just by what companies can do with customer data but how responsibly they do it. Clarity appears to be ahead of that curve.