DOHA: Qatar is taking a measured approach to developing its financial sector, with a strong focus on putting the right banking, payments and data infrastructure in place.
Highlighting Qatar’s fintech sector and the opportunities emerging as the country builds out its financial infrastructure, Stiven Muccioli, CEO and Founder of BKN301, (a leading financial technology provider) in an interview with The Peninsula pointed out that under the Third National Development Strategy, Qatar is targeting a top ten position in digital competitiveness, while increasing the role of the private sector in driving economic growth.
For financial institutions, this is creating a significant opportunity to leapfrog some of the infrastructure gaps that other markets have had to address later in their development. Rather than building new financial services on fragmented foundations and then having to go back and fix them, Qatar is prioritising the development of the underlying infrastructure alongside the growth of the sector itself.
He noted collaboration is an important part of this approach. Established Qatari institutions and fintech providers can combine their respective market experience, technology and regional capabilities to develop financial services that reflect local regulatory and operational requirements. Engaging regulators early also means areas such as compliance, governance and data can be built into the infrastructure from the beginning, Muccioli said.
Shedding light on the recent partnership with Al Faisal Holding, he said, “Through our partnership with Al Faisal Holding, our aim has been to shorten the path from technology to live financial services, with governance and operational control built into the architecture from the outset.
“Together with Al Faisal Holding, we have created a dedicated entity focused on fintech trading and services to serve the next generation of financial technology. A big part of making that work is ensuring newer financial infrastructure is developed around areas such as data, interoperability and cross-border services, rather than layering new capabilities onto systems that were not originally built for them.
“That means contributing technology and infrastructure that can sit alongside the institutional strength already in the market, connecting existing systems where needed and supporting institutions as they introduce new financial services and capabilities.
“Companies like ours will be central to achieving that ambition. In BKN301, we provide financial data infrastructure for intelligent operations, giving banks, regulators, and businesses the shared, real-time visibility they need to operate efficiently, manage risk, and support the country’s broader digital transformation goals,” he added.
Replying to a query regarding the role AI-powered infrastructure could play as Qatar’s financial services sector continues to develop, Muccioli noted that AI-powered infrastructure will have its greatest impact when it is embedded in the operating model of a financial institution.
The immediate value lies in helping financial institutions use their data more effectively across areas such as onboarding and compliance, risk monitoring and reporting, so teams can identify issues earlier and make better-informed decisions.
The starting point is governed data. Many banks already hold the information AI needs, but it sits across systems in different formats and with different levels of quality. Institutions need confidence in the accuracy of that data and clear rules around how it can be used. Otherwise, introducing AI can create another source of uncertainty, rather than making operations easier.
Once the foundation is in place, AI can be introduced into existing workflows without disrupting the systems institutions rely on every day. That is where it can start to play a more practical role as transaction volumes grow, compliance becomes more complex and institutions look to introduce new services, he added.
