For years, B2B payments in the MENA region have lagged behind consumer payments. While retail transactions are rapidly digitizing, B2B payments remain fragmented, inefficient and burdened by legacy processes. The result? Delayed settlements, high costs, and manual reconciliations that slow down entire supply chains.
In the UAE, 51% of all credit sales are paid late, largely due to outdated, manual processes, with companies attributing this to inefficient and manual processes. In Saudi Arabia, businesses take more than five months on average from invoicing to receiving cash—the longest working capital cycle in the region. These inefficiencies aren’t just inconvenient; they restrict liquidity, limit access to credit, and hinder growth across the region’s economy.
But change is coming – and it’s coming fast.
The Current State of B2B Payments in MENA
Despite major strides in digital banking, B2B transactions still heavily rely on bank transfers and checks. This means
- Long settlement cycles
- Limited visibility into cash flow
- Complex, costly cross-border processes
Globally, the B2B payment market is forecast to reach $185 trillion by 2033, but in MENA, manual processes remain a significant bottleneck. For SMEs—the backbone of most economies—59% of SME payments in the UAE are still made in cash and checks, while 55% of SMEs struggle with manual tools for financial management.
Cross-border transactions in the region face similar challenges. Fees across some corridors are still over 5% and settlement takes between 1 to 3 days, much higher than consumer rates. For the region’s highly interconnected trade, this inefficiency poses numerous challenges for businesses.
What’s Driving the Shift?
MENA’s B2B payments landscape is evolving rapidly thanks to three key forces:
- Real-time and Digital Payments
Governments across the region are modernizing payment rails. Saudi Arabia’s SARIE and Egypt’s Instant Payment Network (IPN) are enabling businesses to move funds instantly. For example, SARIE processed over 10.8 billion transactions in 2024, a 25% YoY increase. - Modern Card Issuing
Programmable card issuing is transforming how businesses manage expenses and supplier payments. Instead of relying on slow transfers and manual reconciliations, companies can issue virtual or physical cards instantly, set dynamic spend controls, and fund in real time. This shift isn’t just about convenience—it’s about giving businesses control, visibility, and security over every transaction. For banks, it opens up new revenue streams through card-based B2B solutions.
- Embedded Finance
B2B platforms are embedding payments, credit and treasury tools into their workflows, reducing friction and improving compliance. This integration doesn’t just improve user experience; it opens new monetization opportunities and strengthens customer stickiness across the value chain.
Why this matters for Banks and Financial Institutions
This shift is more than digitizing old processes – it’s a complete rethinking of how businesses pay and get paid. For banks and FIs, it means:
- New revenue streams
- Modern card programs that replace slow transfers with virtual and physical cards for supplier and employee payments
- Real-time FX and liquidity tools for cross-border payments
- API-driven integration with ERP and accounting systems, automating transactions and reducing reconciliation headaches.
Banks that adapt now will own the next decade of B2B payments. Those that don’t risk losing relevance to fintechs and digital-first challengers.
The Bottom Line
MENA’s B2B payments ecosystem is at an inflection point. For Banks and FIs, this is just an upgrade opportunity – it’s a growth opportunity. Those who modernize their infrastructure today will lead tomorrow’s digital economy.
At NymCard, we’re enabling banks and FIs across MENA to move fast. From programmable card issuing and processing to embedded credit and cross-border payments, our API-driven platform gives you the tools to innovate, scale and lead.
B2B payments in MENA are changing. With NymCard, you can lead the shift.
.svg){kind=small}
